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 previously outlined an increase in the tariff rate to 60% could impact pretax operating profit by roughly $200 million. Jeff Marks, CNBC, 20 Nov. 2024 According to a 2021 report by the Institute on Taxation and Economic Policy, at least 55 of the largest corporations in America paid no federal corporate income taxes despite enjoying substantial pretax profits in the United States. David Trone, Fortune, 1 Nov. 2024 Roth conversions move pretax or nondeductible IRA funds to a Roth IRA, which can start tax-free growth. Kate Dore, Cfp®, CNBC, 29 Oct. 2024 Back in July, HSBC posted estimates-beating pretax profit of $21.56 billion in the first half of the year, announcing a share buyback program of up to $3 billion. Ruxandra Iordache, CNBC, 22 Oct. 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 15 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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