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unearned income

unearned income

1 4.4
Money you get without working, for example interest or rent
  • noun
  • /ʌnˈɜrnɪd ˈɪnkʌm/
  • Specialized
translation icon : ingresos no ganados
  • Why is no one talking about the new 3.8% tax on unearned income, which goes into effect January 1, 2013, to pay for the 2010 Affordable Care Act?
  • tax on unearned income
  • unearned income includes interest

But this rent because it's not productive and it's unearned income.

Examples

  • His unearned income last year was more.

    Blog text (14)
  • "I don't believe that our royalties are unearned income!"

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  • If you raised taxes to 36% for unearned income, then these folks would be facing a 20 percentage point rise in taxes, figure a $200-$250k increase on average.

    Blog text (20)
  • For someone like Romney, who has mostly unearned income as dividends and capital gains, the tax increase would be 33% for capital gains and 260% for dividends.

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  • Between the uber-rich hardly paying taxes on their unearned income and the government not weeding out abusers of entitlements, these candidates have nothing to offer us except the bill to pay for it all.

    Blog text (21)
  • Many retirees rely on unearned income from sources like pensions and investments to support their lifestyle.

  • Investing wisely can help you generate additional unearned income, such as through rental properties or stock dividends.

  • Understanding how to manage unearned income is essential for effective financial planning, including tax implications.

Synonyms

unearned revenue
vsunearned income
  • Specialized
7.2

Money a person gets without working, for example from stocks or rent

is the same concept but stated without personal emphasis

How Earned

salary
642 1.3
income
1.2
unearned income
  • Specialized
1 4.4

Surface Forms

Morphology

unearned + income

The phrase is compositionally built from 'unearned' (not earned/deserved) + 'income' (money received), so a B1 learner who knows both words can infer it refers to income that has not been earned. While accounting usage adds a technical nuance (prepaid receipts reported as a liability), the core meaning 'income that is not yet earned' is directly derivable from the constituents.

Etymology

Unearned income comes from a simple image: unearned (not from work) and income (money you get), as with rent, interest, or dividends. That's why it means 'money you get without doing a job'.