What are the Factors that affect Income of a Family?

Two persons residing in the same area and work­ing in the same office at same position may get same salary. But their real income can differ.

Following are the factors affecting in­come of a family:

1. Proper use of time.

If spare time is used to do some additional work, real income can be increased, e.g., in free time a house­wife can take tuitions.

2. Use of human resources.

If family members use their resources like knowl­edge, interest, efficiency, skill, etc. then the increase in real income is possible.

3. Use of facilities provided by society and Government.

By using the facili­ties provided by society or Government, family income can be increased and stan­dard of living can be raised.

4. Proper investment of money.

By proper investment money can be in­creased, for example, if money is kept in Fixed Deposit one can get good interest.

5. Commitment towards work.

If a per­son does his work with interest, efficiency and commitment, he is assured to get positive results. A businessman may get good profit or a salaried person may get promotion and hike in salary.