tax-deferred

adjective

US
: not taxed until sometime in the future
a tax-deferred savings plan

Examples of tax-deferred in a Sentence

Recent Examples on the Web More tools to save for retirement #1: Roth IRA’s are tax-deferred and in retirement earnings can be withdrawn tax-free. Roxana Popescu, San Diego Union-Tribune, 4 Jan. 2024 Contributions are pre-tax, your account can grow tax-deferred and withdrawals for qualifying medical expenses are tax-free. Liz Pulliam, San Diego Union-Tribune, 17 Dec. 2023 Contributions are tax-deductible and balances can grow tax-deferred, while withdrawals for qualifying medical expenses can be tax free. Liz Weston, San Diego Union-Tribune, 19 Nov. 2023 What’s more, the income from an IRA is either tax-deferred or tax-free. Laxmi Corp, The Salt Lake Tribune, 11 Sep. 2023 However, since the $1,800 is tax-deferred, the IRS would tax $38,200 — not $40,000. Michelle Singletary, Washington Post, 6 Sep. 2023 Contributions to a Gold IRA may be tax deductible, and payouts may be tax-free or tax-deferred. Laxmi Corp, The Salt Lake Tribune, 11 Aug. 2023

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'tax-deferred.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Dictionary Entries Near tax-deferred

Cite this Entry

“Tax-deferred.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/tax-deferred. Accessed 24 Apr. 2024.

Legal Definition

tax-deferred

adjective
: not taxable until a future date or event (as withdrawal or retirement)
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