unearned income
Money without labor
Unearned income is money received without working for it directly—dividends, interest, capital gains, rental income, inheritances, and similar returns on assets or investments.
Tax codes distinguish it from earned income (wages, salaries, tips) because different rates or rules may apply: Most of her unearned income comes from stock dividends.
The term is neutral in tax contexts but can carry moral weight in debates about wealth and labor.
Retiree's ongoing benefit
- annuityPeriodic fixed payment
- social securityPublic financial protection programs
- inheritanceProperty received from ancestors
- trust fundAssets held for another
bequest · life insurance payout · alimony · child support · disability benefits · veteran benefits · unemployment benefits · workers compensation
Exclusive reproduction rights
- patentObvious; inventor's monopoly
- licensingGranting official permission
- trademarkRegistered commercial identifier
- intellectual propertyLegal rights over inventions
residuals · performance rights · royalty check · master recording · publishing deal · streaming royalties · mineral rights · franchise fees
Owner of company shares
- shareholderEquity owner in corporation
- payoutMoney distributed to recipient
- distributionAllocation across recipients
- yieldProduce or relinquish
profit sharing · cash dividend · stock dividend · ex-dividend · dividend yield · dividend check · preferred stock · quarterly dividend
Collected works or assets
- securitiesTradeable financial assets
- stocksOwnership stakes or inventory
- bondsTies that unite
- mutual fundsCollectively managed securities portfolios
appreciation · equity · asset allocation · index fund · exchange-traded fund · commodities · futures · long-term gains
Temporary use contract
- tenantOne who rents property
- landlordProperty owner renting out
- real estateLand and its structures
- apartmentRented unit in building
residential · commercial · rent collection · sublet · property management · rental agreement · cash flow · rental property
Returns on reinvested earnings
- simple interestInterest on principal alone
- APRYearly borrowing cost
- yieldProduce or relinquish
- savings accountInterest-bearing bank holding
certificate of deposit · bond interest · accrual · principal · money market · interest rate · annual yield · maturity
pension
Retiree's ongoing benefit
- annuityPeriodic fixed payment
- social securityPublic financial protection programs
- inheritanceProperty received from ancestors
trust fund · bequest · life insurance payout · alimony · child support · disability benefits · veteran benefits · unemployment benefits · workers compensation · stipend
copyright
Exclusive reproduction rights
- patentObvious; inventor's monopoly
- licensingGranting official permission
- trademarkRegistered commercial identifier
intellectual property · residuals · performance rights · royalty check · master recording · publishing deal · streaming royalties · mineral rights · franchise fees
stockholder
Owner of company shares
- shareholderEquity owner in corporation
- payoutMoney distributed to recipient
- distributionAllocation across recipients
yield · profit sharing · cash dividend · stock dividend · ex-dividend · dividend yield · dividend check · preferred stock · quarterly dividend
portfolio
Collected works or assets
- securitiesTradeable financial assets
- stocksOwnership stakes or inventory
- bondsTies that unite
mutual funds · appreciation · equity · asset allocation · index fund · exchange-traded fund · commodities · futures · long-term gains · short-term gains
lease
Temporary use contract
- tenantOne who rents property
- landlordProperty owner renting out
- real estateLand and its structures
apartment · residential · commercial · rent collection · sublet · property management · rental agreement · cash flow · rental property · buy-to-let
compound interest
Returns on reinvested earnings
- simple interestInterest on principal alone
- APRYearly borrowing cost
- yieldProduce or relinquish
savings account · certificate of deposit · bond interest · accrual · principal · money market · interest rate · annual yield · maturity · floating rate
- incomesalary, wages, pay, gross wages, revenue
- income taxtax return, tax brackets, tax rates, tax bracket, tax rate
- liabilitiesaccounts payable, tax liability, payables, short-term debt, long-term debt
- passive incomedividends, interest, royalties, capital gains, annuities
- tax terms1040, W-2, 1099, W-4, tax refund
- investment taxescapital gains, capital gains tax, dividends, capital losses, capital loss
unearned incomeearned income
Pay from work
wages · salary · employment income · active income · compensation
earn, income, earned, earnings, earning, incomes, earner, earners, unearned