Interest income is the money earned from lending funds or investing in financial products that pay interest. This can come from various sources, such as savings accounts, bonds, or loans made to individuals or businesses. The amount of interest earned typically depends on the interest rate and the duration of the investment or loan. For individuals and businesses, interest income is an important part of financial planning. It can help grow savings over time and provide a steady stream of revenue. Understanding how interest rates work and where to invest can maximize potential earnings from interest income.