What type of income does not increase over time?

• A. Variable income
• B. Fixed income
• C. Disposable income
• D. Gross income

Answer: (B)

Fixed income refers to a type of income that remains constant and does not fluctuate over time. Examples of fixed income include salaries, pensions, and certain types of investments like bonds, where the returns are predetermined and do not change. This stability can be beneficial for budgeting and planning, as individuals can rely on a consistent amount of money coming in.

In contrast, variable income can change from month to month due to factors like commissions, freelance work, or seasonal jobs. Disposable income, which represents the amount of money individuals have available to spend after taxes, can vary based on changes in income and taxation. Gross income is the total earnings before deductions and can similarly change due to various factors such as increases in salary or other income sources. Therefore, fixed income is the only type that does not increase or decrease over time, making it the correct answer.