The net annual income required for a household in a particular place to afford a decent standard of living for members of that household. Elements of a decent standard of living include: food, water, housing, education, healthcare, transportation, clothing, and other essential needs including provisions for unexpected events.^*

• Both living wage (see definition below) and living income are about achieving a decent standard of living for households. The concept of living wage is applied in the context of hired workers (in factories, on farms, etc), whereas living income is relevant to persons for whom most or all income is through self-employment.

^{* Adapted from Living Income Community of Practice}