Question

your realized income is $36864/yr. your fixed and housing expenses are 32% and your savings are 15% of your realized income per month. How much discretionary money do you have, excluding savings, per month?

Answer 1

For this question, you need to find how much money you have left over after taxes and savings (also, discretionary money is income after taxes). They equal to 47%, so you are entitled to 53% of the money. So, 53% of $36864 is $19537.92. But, you are asked to find the income you get per month, so divide $19537.92 by 12, which gets us $1628.16 a month. Hope this helped