Sentences with phrase «interest on that borrowed money»

You'll pay interest on the borrowed money but can increase your return as long as your investments pay off.

Zero percent interest on the borrowed money, or close to it.

My returns would be lower than normal for this kind of deal, because I would owe interest on the borrowed money.

Years ago, in a seminal decision, the Supreme Court of Canada summarized the four requirements that must be met for interest expense to be tax deductible: «(1) the amount must be paid in the year...; (2) the amount must be paid pursuant to a legal obligation to pay interest on borrowed money; (3) the borrowed money must be used for the purpose of earning non-exempt income from a business or property; and (4) the amount must be reasonable.»

You'll pay interest on the borrowed money, and there are some inherent risks involved with investing on margin that you should be aware of.

Recoup the cost of the wedding by charging yourself principle and interest on the borrowed money.

Please note: If the money is borrowed, the insurance company typically charges a rate of interest on the borrowed money.

Not exact matches

Ultra-low interest rates and rising housing prices have allowed consumers to binge on borrowed money — including from friends and family

The low interest rates that the Federal Reserve relied on to kick - start the economy, meanwhile, fed this same dynamic, making it easier for fast - growing companies to borrow money to grow further — and making bond interest look unattractive compared with stock dividends.

«There won't be enough money in the government to allow for a tax cut and fiscal stimulus program if in effect the government can't even pay the interest on the debt without borrowing the money.»

However, you can borrow up to $ 50,000 or 50 percent of the vested balance (whichever is less) and pay interest on the money at a rate of prime or prime plus 1 percent.

In India, for instance, a company might have to pay 7 % interest on the money it borrows, so its returns need to be high.

For a Wharton MBA borrowing the money on a standard 10 - year repayment plan, the debt amounts to about $ 1,408 in monthly payments, assuming a 6.8 % interest rate and a total of $ 46,618 in interest charges.

The interest or finance charges you incur on borrowing that money are an expense and will appear as an expense and use of cash.

That means that while your friend or relative may not be receiving any interest on the money you borrowed, the IRS will tax them as if they were.

This is because most private student loan lenders offer extended repayment plans and variable interest rates that seem lower at the onset of a loan refinance, saving borrowers money on their monthly payment as well as on the total cost of borrowing over time.

In normal times, commercial banks earn interest on money parked at the central bank, and pay money to borrow.

That can hurt a company's stock price if it's borrowed a lot, as the interest it's paying on that debt is more expensive — meaning more money will be spent paying it down, leaving less for product development, marketing, etc..

In addition, cities, states, and taxpayers have concerns about the costs of bonds and borrowing, how to get the best return on banked or invested public money, and an interest in finding innovative ways to fund public spending without surrendering public control, as is often the case with public - private partnerships.

Without authority to borrow money, President Barack Obama's administration would face immediate choices on which bills to pay: Federal employee salaries or Medicare recipients, out - of - work residents who receive federal unemployment benefits or investors who expect to receive interest payments on the country's current debt, veterans or air traffic controllers.

The interest must have been paid on a qualified education loan for you, your spouse, or someone who was your dependent when the money was borrowed.

Far more common, and often much more important for most types of businesses, interest expense on the income statement represents the cost of borrowing money from banks, bond investors, and other sources to meet short - term working capital needs, add property, plant, and equipment to the balance sheet, acquire competitors, or increase inventory.

Thus, if we look at bonds from a historical perspective, interest rates are very low — which is great for those borrowing money — but not so great for those that wish to see higher rates of interest, and return, on their money.

They make their money through net interest income, which is the difference between what they receive in interest from loans they issue versus what they pay out on deposits, bonds, and other forms of borrowing.

When you borrow money from an outside source and promise to return the principal in addition to an agreed - upon percentage of interest, you take on debt.

The 2017 tax year will be the last time that you can deduct interest paid on home equity loans and home equity lines of credit if you borrowed up to $ 100,000, no matter how you spent the money.

That was enough to spark a sell - off on bond markets, which drove the interest rate the U.S. government must pay to borrow money to rise to its highest level since October 2011.

Instead, when the Fed makes its first rate hike — something that probably won't happen until at least September - 2015 — it will do so by 1) raising the interest rate paid on bank reserves, 2) increasing the amount that it pays to borrow money via Reverse Repurchase agreements, and 3) boosting the rate that it offers to financial institutions for term deposits.

Based on my experience in the manufacturing industry, I would bet the people who don't think they needed financing are the same ones that went out and spent a significant chunk of their working capital on a new machine, figuring they would save themselves the interest, and then the following year they were part of the 49 per cent of respondents who said they needed to borrow money for working capital.

Unfortunately, the interest will start to accrue on the loan immediately you borrow the money.

The main benefit of this option is that, if they're able to help, you can pay little to no interest and there is technically no cap on the amount you can borrow, other than the amount of money they make available to you, of course.

This means you'll save some money on the interest you'll pay back against your borrowing; making balance transfers a preferred way for many borrowers to axe interest and pay off outstanding debt, as many credit card companies offer an interest free period on balance transfers to new customers.

This feature protects the bank against the possibility that prevailing interest rates fall below the CD's rate, essentially forcing the bank to overpay on the money they've «borrowed» from the CD holder.

The Bank's base rate dictates the amount of interest it charges to the high street banks for the money it issues, which in turn affects the rates at which ordinary customers can borrow money and how much interest they get on their savings.

This means that instead of creating money to pay its expenses, the government must borrow money, much of it from the banks, and pay interest on most of it.

Because you pay interest on the money you borrow, but you earn interest on the money you save.»

The alternative, issuing bonds and borrowing money, could cost taxpayers $ 4 million more because of interest payments on the debt, park officials have said.

One after another, lobby groups and special interests dependent on the state's borrowed money are wheeled out to explain why they should be exempt from the squeeze.

«Everything runs smoothly as long as we keep on borrowing ever more money... To keep people buying at ever higher prices requires even lower interest rates.»

Because of the lack of competing bond offerings, he said, the Erie County control board, which was borrowing money on the hospital's behalf, received an excellent interest rate.

If they are going to borrow money from us, then the State should pay interest on these property tax dollars.»

There's another dividend: Preventing this future borrowing also frees up money the state would otherwise have to spend on interest, allowing it to address other pressing problems.

In other words, easy financing makes China - made solar cells much cheaper than those from manufacturers who must pay interest on any money borrowed to build factories or install modules.

Activities and presentation for the Money and Banking part of GCSE Economics including differentiated worksheet with Interest Rate Calculations, worksheet on building paragraphs to show effects on borrowing and saving, and presentation which covers the whole lessons and finishes with a unit self evaluation activity.

Unexpected inflation hurts savers and people on fixed incomes; it helps people who have borrowed money at a fixed rate of interest.

The union's hellfire - and - brimstone document informs us that banks took advantage of poor lil» ol' educators by charging interest on money they never should have had to borrow in the first place.

Probably pay more in interest on the additional money borrowed for fuel saving tech than what they saved in fuel cost unless there is exceptional fuel savings over long period of time.

The great thing about using money borrowed from those close to you is that you will get money quickly and sometimes you won't need to pay interest and late fees on that money.

Because of that, the tax deduction that normally applies to interest on money borrowed to earn investment income is negated.

Also, if you are in a position where you can save money on interest payments by consolidating or refinancing your debt, then borrowing may be a good option for you as well.