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401(k) vs Pension Plan: Differences and Which is Better For You
https://www.sofi.com/learn/content/pension-vs-401k/
A 401(k) plan is a retirement savings plan in which employees contribute to a tax-deferred account via paycheck deductions (and often with an employer match). A pension plan is a different kind of retirement savings plan in which a company sets money aside to give to future retirees. Over the past few decades, defined-contribution plans […]
What Is Net Income (NI)? Definition, Calculation, and Example
https://www.sofi.com/learn/content/what-is-net-income/
Net income is the total profit a business makes in a given reporting period after all of its expenses are paid. It’s often referred to as a company’s “bottom line” because it appears at the bottom line of the income statement. Read on for a closer look at what net income is, how to calculate […]
EBITDA vs Net Income: Differences and Relationship
https://www.sofi.com/learn/content/ebitda-vs-net-income/
Net income and EBITDA (earnings before interest, taxes, depreciation, and amortization) are both measures of business earnings. But they are not the same thing. Net income refers to earnings of a business during a certain period after subtracting all expenses incurred by the company. EBITDA is similar, but doesn’t subtract certain expenses (such as interest […]
Guide to Income Statements in Business
https://www.sofi.com/learn/content/income-statements/
An income statement, also known as a profit and loss statement (or P&L), summarizes your company’s financial transactions. It shows you how much you earned and how much you spent for a specific reporting period. An income statement is an important tool for any business owner because it lets you know whether your business made […]
Home Equity Lines of Credit (HELOCs) vs Personal Lines of Credit
https://www.sofi.com/learn/content/personal-line-of-credit-vs-heloc/
If you’re looking for a tool you can use to borrow money when you need it, you may be wondering which is the better choice: a personal line of credit or a home equity line of credit (HELOC). In this guide we’ll compare these two types of credit lines — both of which function similarly […]