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Inflation-Protected Income

Inflation-Protected Income refers to earnings that are designed to increase over time to keep pace with inflation, ensuring your purchasing power remains stable. This type of income adjusts periodically based on inflation indices, such as the Consumer Price Index, so as living costs rise, your income rises correspondingly. Examples include inflation-linked bonds or retirement accounts with built-in cost-of-living adjustments. It's a way to protect your income from losing value due to inflation, helping maintain your standard of living over the long term.