Finance Net Income Formula is a mathematical formula used to accurately calculate a business’s net income. By subtracting total expenses from total revenues, the formula provides a more accurate assessment of a business’s financial performance than just looking at revenues alone. This calculation can be used for budgeting and forecasting, as well as year-end tax preparation. Knowing how much you’re taking in compared to how much you’re shelling out can help you set achievable goals and make smart financial decisions, ensuring your business is on the path to success!