Income Calculator

Formula

The formula to calculate the monthly income from the annual income or vice versa is:

\[ M = \frac{A}{N} \]

Where:

$ M $ is the monthly income
$ A $ is the annual income
$ N $ is the number of months (typically 12)

What is Annual Income?

Annual income is the total amount of money earned over a year. This includes all sources of income such as salary, bonuses, investments, and other earnings. It is an important figure used for budgeting, financial planning, and tax purposes.

Example Calculation

Let's assume the following values:

Annual Income ($ A $): $60,000
Number of Months ($ N $): 12

Step 1: Divide the annual income by the number of months:

\[ M = \frac{60,000}{12} = 5,000 \]

Therefore, the monthly income is $5,000.