payout: meaning, definition, pronunciation and examples

B2
UK/ˈpeɪ.aʊt/US/ˈpeɪˌaʊt/

Formal to neutral; common in business, finance, legal, and news contexts.

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Quick answer

What does “payout” mean?

A substantial sum of money paid out to someone, often as a result of an insurance claim, investment, lottery, or legal settlement.

Audio

Pronunciation

Definition

Meaning and Definition

A substantial sum of money paid out to someone, often as a result of an insurance claim, investment, lottery, or legal settlement.

The act or process of disbursing funds; also refers to a scheduled series of payments, such as from a pension or annuity.

Dialectal Variation

British vs American Usage

Differences

Usage is largely identical. Slightly more frequent in American financial news. 'Pay-out' (with hyphen) is an accepted but less common variant in British English.

Connotations

Both associate it with finality and substantial amounts. In UK, slightly stronger link to insurance and pensions; in US, also strongly linked to lawsuits and corporate dividends.

Frequency

High frequency in financial sectors in both regions; moderate in general news.

Grammar

How to Use “payout” in a Sentence

[Subject] received a payout from [Source][Source] issued a payout to [Recipient]The payout was for [amount/reason]

Vocabulary

Collocations

strong
insurance payoutlump sum payoutdividend payouthuge payoutreceive a payout
medium
payout ratiopayout schedulepayout optionannual payouttax-free payout
weak
quick payoutdelayed payoutpayout amountpayout phase

Usage

Meaning in Context

Business

The board approved a special dividend payout to shareholders.

Academic

The study analysed the correlation between corporate profitability and dividend payout ratios.

Everyday

They're still waiting for the insurance payout after the flood.

Technical

The annuity product offers a choice between a single-life or joint-life payout option.

Vocabulary

Antonyms of “payout”

Watch out

Common Mistakes When Using “payout”

  • Using 'payout' for a regular monthly salary.
  • Misspelling as 'pay out' (verb phrase) when a noun is needed.
  • Confusing 'payout' (noun) with 'pay out' (verb).

FAQ

Frequently Asked Questions

As a noun, it is almost always one word: 'payout'. The verb phrase is two words: 'pay out'.

It's possible but uncommon. 'Payout' typically suggests a substantial or significant sum. For regular small payments, 'payment' or 'allowance' is better.

'Payout' is neutral, relating to legitimate disbursements. 'Payoff' can mean a final payment or bribe, and has stronger informal/slang connotations.

Yes, it's standard terminology for the sum won from a bet or slot machine.

A substantial sum of money paid out to someone, often as a result of an insurance claim, investment, lottery, or legal settlement.

Payout is usually formal to neutral; common in business, finance, legal, and news contexts. in register.

Payout: in British English it is pronounced /ˈpeɪ.aʊt/, and in American English it is pronounced /ˈpeɪˌaʊt/. Tap the audio buttons above to hear it.

Phrases

Idioms & Phrases

  • hit the payout jackpot
  • waiting for the payout
  • payout day

Learning

Memory Aids

Mnemonic

PAY + OUT: Imagine literally paying out a huge pile of cash from a vault.

Conceptual Metaphor

MONEY IS A FLUID (payout is a release of that fluid), REWARD IS A HARVEST (payout is the gathered crop).

Practice

Quiz

Fill in the gap
Investors were pleased when the company announced a record dividend .
Multiple Choice

In which context is 'payout' LEAST appropriate?