What is Gross Income?

Gross income is the total amount of income earned by an individual or a company before any deductions or taxes are taken out. It comprises all sources of income, such as salaries, wages, bonuses, commissions, rental income, and investment income. Gross income is an important financial indicator that may give insight into an individual's overall financial health and earning potential. Moreover, this metric is important when applying for a loan or a credit card, as lenders or credit card companies will use it to assess your financial viability. Apart from gross income, there is net income, which is the take-home pay that is left after all withholdings are accounted for.