SPONSORED

Savings Function Calculator

LAST UPDATE: August 26th, 2018

Calculator

What is the savings function?

The savings function describes the relationship between income and consumption. It is paired with the consumption function.

Formula

Savings = Total Income – Consumption

Example

In a country, total income is $600,000 and consumption is $100,000.

Savings = $600,000 – $100,000 = $500,000

Therefore, savings is $500,000.

Source and more resources