In personal finances, the term fixed-income can be used in several ways. For example, a security that pays a specific interest rate-like a bond-is a fixed-income security. Usually, however, fixed-income is used as an adjective to describe a group of individuals that is unable to realistically increase the amount of their monthly income. For example, many retired individuals are said to be living on a ‘fixed income’, which must satisfy the ever-increasing costs of housing, clothing, and food. The term is somewhat misleading, however, in that it infers that most individuals are free to appreciably increase their incomes if they but decide to do so.