👉 In the context of financial analysis, "residual" is a technical concept that refers to the difference between what is considered to be earned or received and what is actually paid out in a given period. Residual is often used in accounting and finance to measure the amount of income that has not been distributed to shareholders. Residual is calculated by subtracting the amount of money that was earned from the total amount of money that was paid out during a particular period, or by using a formula based on