What Is Regular Income?

Regular income is any type of income earned by an organization or an individual that is taxable at ordinary rates. It includes (but is not limited to) wages, salaries, tips, bonuses, commissions, rents, royalties, short-term capital gains, unqualified dividends, and interest income.

Regular income is any type of income that’s taxable at ordinary rates.

Examples of regular income include:

• salaries
• wages
• tips
• bonuses
• commissions
• rents
• royalties
• short-term
• capital gains
• unqualified dividends
• interest income

What is an irregular income?

Living on an irregular income means that your monthly income is unpredictable and can fluctuate. There’s no steady paycheck or predictable income you can plan around.

Examples of irregular income include:

• Self-employment income
• Commissions based income
• Quarterly or annual bonuses
• Collecting tips in the service industry
• Part-time work with irregular hours
• Seasonal work (like landscaping or accounting)
• Stock options, stock purchase plans or restricted stock units (RSUs)