Nettoinkomsten

Nettoinkomsten refers to the amount of income remaining after deductions from gross income. The term is used in several Nordic languages and can apply to individuals, households, or enterprises. It is a key measure for understanding what people actually have available to spend or save, and it is also used in accounting to describe profitability after costs.

For individuals, nettoinkomsten typically equals gross wages minus direct taxes, social security contributions, pension payments, and other withholdings. For the self-employed, it denotes revenue minus business expenses, depreciation, taxes, and self-employment contributions. In many contexts, it is distinguished from take-home pay, which focuses on the amount received in a regular pay period, and from disposable income, which includes government transfers and benefits.

In corporate accounting, net income (often equated with nettoinntekt or net profit in local terminology) refers to profit after subtracting operating expenses, interest, taxes, depreciation, and amortization from total revenue. It serves as a primary indicator of a company’s profitability and financial performance over a period.

Tax rules and deductions vary by country, so nettoinkomsten is jurisdiction-specific and can differ significantly even for similar gross incomes. It is commonly used in budgeting, wealth assessments, and macroeconomic analysis, but it does not capture non-cash income, imputed values, or living cost differences. For a complete picture of financial position, nettoinkomsten is typically considered alongside gross income, taxes, transfers, and consumption needs.