What do companies use slush funds for?
Table of Contents
What do companies use slush funds for?
slush fund | Business English money that is kept by a business or other organization for illegal purposes: The CEO treated this money as his own personal slush fund and used it to evade taxes. money that is kept for unexpected costs: We have set up a small slush fund to cover any unexpected running costs.
How much should I have in a slush fund?
Aim for a slush fund of around $1,000 to $1,500. After you have this locked down, you should then move on to putting as much money towards your credit card balances as possible (it’s expensive to finance your life at 20\%!)
What do you call slush fund?
What is another word for slush fund?
| graft | hush money |
|---|---|
| boodle | inducement |
What is meant by sinking fund?
A sinking fund is a fund containing money set aside or saved to pay off a debt or bond. A company that issues debt will need to pay that debt off in the future, and the sinking fund helps to soften the hardship of a large outlay of revenue.
What is slush in a budget?
A slush fund is a sum of money that is set aside as a reserve and that is kept for no particular purpose.
What is petty cash fund?
A petty cash fund is a small amount of company cash, often kept on hand (e.g., in a locked drawer or box), to pay for minor or incidental expenses, such as office supplies or employee reimbursements. In larger corporations, each department might have its own petty cash fund.
What is rainy day savings?
A rainy day or rainy day fund is a reserved amount of money to be used in times when regular income is disrupted or decreased in order for typical operations to continue.
What do you mean by sinking fund?
What is an emergency fund account?
An emergency fund is a separate savings or bank account used to cover or offset the expense of an unforeseen situation. It shouldn’t be considered a nest egg or calculated as part of a long-term savings plan for college tuition, a new car, or a vacation.
Is sinking fund taxable?
Several housing societies that created a “sinking fund” or future repair funds are set to face additional taxes in the form of goods and services tax (GST) on this amount following an advance ruling. In most cases housing societies collect money from residents for future contingencies.
How much money should be in a sinking fund?
If buying into a large strata scheme, you would expect a sinking fund to be hundreds of thousands of dollars. Equally, if you are buying into a block of six, the sinking fund could be reasonable with a balance of only $60,000, because it is a matter of proportion. That’s the first test.