pretax

adjective

pre·​tax ˌprē-ˈtaks How to pronounce pretax (audio)
variants or pre-tax
: existing before provision for taxes : before taxes are deducted
pretax earnings/profits
The most common self-directed plans, 401(k) plans, leave it up to employees to voluntarily contribute part of their pretax salary.Ellen E. Schultz

Examples of pretax in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
The company implemented employee-separation programs in 2024, incurring a total pretax expense of $157 million, as part of strategic restructuring efforts. Quartz Bot, Quartz, 12 Dec. 2024 For 2024, the calculation divides your 2023 pretax balance by an IRS life expectancy factor. Kate Dore, Cfp®, CNBC, 11 Dec. 2024 Sticking with pretax retirement contributions over the aftertax (Roth) kind might damage the 20% pass-through deduction for the self-employed. Kelly Phillips Erb, Forbes, 7 Dec. 2024 These noncash charges will reduce GM's net income but will not affect its adjusted pretax earnings. Mark R. Weaver, Newsweek, 4 Dec. 2024 See all Example Sentences for pretax 

Word History

First Known Use

1917, in the meaning defined above

Time Traveler
The first known use of pretax was in 1917

Dictionary Entries Near pretax

Cite this Entry

“Pretax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/pretax. Accessed 22 Dec. 2024.

Legal Definition

pretax

adjective
pre·​tax
ˌprē-ˈtaks
: existing or occurring before the assessment or deduction of taxes
pretax income
pretax contributions
Last Updated: - Updated example sentences
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