Finder makes money from featured partners, but editorial opinions are our own. Advertiser disclosure

Disposable income in the US

Current US disposable income, including historic and current average, formula and more (updated monthly).

Disposable personal income (DPI) in the US went from $15,701 billion in June to $15,674 billion in July 2023.

US disposable income: A historical view

What is the average disposable income in the US per capita?

The average disposable income hit $45,345 in the US in 2022, down from $48,534 in 2021. Through June 2023, that figure sits at $46,646.

US disposable income: Rolling 10-year average

The 10-year rolling average disposable income in the US is roughly $44,318, meaning the average disposable income for 2023 is about $2,329 (or 5.3%) higher than it was on average over the last 10 years.

What is disposable income?

Disposable income is defined by the Bureau of Economic Analysis (BEA) as the “amount that US residents have left to spend or save after paying taxes.”(2) The US personal saving rate is the percentage left of your disposable income after you’ve paid taxes and spent money.

How to calculate your disposable income

To calculate your disposable income, deduct the taxes you pay from your total or gross income. The result is also referred to as your net income. So the disposable income formula is as follows:

Gross income – taxes = disposable income

Say you live and work in New York with an annual salary of $100,000. Your disposable income is the result of $100,000 less the roughly $28,000 you’ll pay in state and federal taxes — which comes to about $71,876(3).

This example assumes marital status and other variables with figures based on 2021 state and federal tax rates.

Making your disposable income work for you

One simple budgeting rule people work to is 50-30-20. That is 50% of your income goes to needs, 30% on wants and 20% into savings.

Now, if you’re making $100,000 per year in New York you’re looking at a disposable income of $71,876 less any federal and state taxes, which means you got a savings goal of $14,375.20 per year ([$71,876 / 100] * 20 = 14,375.20).

Obviously, that doesn’t hit your account all at once but will trickle through in increments of $276.45 per week ($14,375.20 / 52 = $276.45). If we use the average the APY’s of the cards listed on Finder’s best savings accounts (at the time of writing), we get an average APY of 3.43%.

If we throw both the figures into a savings calculator you’ll see that you could make roughly $254.11 in interest after one year, $6,554.78 after 5 years and $27,777.14 over the next decade.

Richard Laycock's headshot
Senior editorial manager

Richard Laycock is Finder’s NYC-based senior content marketing manager & insights editor, spending the last decade data diving, writing and editing articles about all things personal finance. His musings can be found across the web including on NASDAQ, MoneyMag, Yahoo Finance and Travel Weekly. Richard studied Media at Macquarie University, including a semester abroad at The Missouri School of Journalism (MIZZOU). See full bio

More guides on Finder

Ask a question provides guides and information on a range of products and services. Because our content is not financial advice, we suggest talking with a professional before you make any decision.

By submitting your comment or question, you agree to our Privacy and Cookies Policy and Terms of Use.

Questions and responses on are not provided, paid for or otherwise endorsed by any bank or brand. These banks and brands are not responsible for ensuring that comments are answered or accurate.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Go to site