1
: from cash on hand : with one's own money rather than with money from another source (such as an insurance company)
With so many people willing to pay out of pocket most insurance companies do not pay for the procedure, because they regard it as "cosmetic" …—Kenneth Chang
2
chiefly British
a
: in the position of having lost money
On Oct. 7, the government suddenly pulled the plug on Railtrack PLC, the privatized owner of Britain's railway infrastructure, leaving the company's 250,000 shareholders out of pocket.—Kerry Capell
b
: out of funds : without money
My wife and I are already consumers of Straus's organic yogurt, butter, cream and ice cream, although I admit when I am feeling out of pocket I opt for a slightly cheaper competitor.—Larry Gallagher
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Merriam-Webster unabridged
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