What term refers to the money received that is available to spend and save?

The term that refers to the money received that is available to spend and save is income. Income encompasses all the earnings that an individual or household receives, which may include wages, salaries, dividends, rents, and other sources of earnings. It represents the financial resources that can be utilized for various purposes such as purchasing goods and services, paying for bills, or saving for future needs.

Understanding income is crucial in the context of personal finance, as it directly affects budgeting and financial planning. When individuals evaluate their financial situation, income is often the starting point since it determines how much they can allocate toward essential expenses and discretionary spending.

Wealth, on the other hand, represents the total value of all assets owned, minus any liabilities, and is a broader concept than just cash flow. Revenue generally refers to the total income generated by a business from its operations, while capital usually indicates financial assets or resources available for investment. While these terms are related to finance, they do not specifically describe the immediate availability of money for spending and saving as income does.