sinking fund

American  

noun

1. a fund to extinguish an indebtedness, usually a bond issue.

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sinking fund British  

noun

1. a fund accumulated out of a business enterprise's earnings or a government's revenue and invested to repay a long-term debt or meet a depreciation charge

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sinking fund Cultural  

1. A fund into which companies or governments place money to redeem their bonds and other forms of indebtedness.

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Etymology

Origin of sinking fund

First recorded in 1715–25

Example Sentences

See Examples For:

sinking fund

She does this by contributing a little bit of money every month into a "sinking fund" - a pot of money set aside for a specific purpose.

From BBC ● Jul. 24, 2026

And if you haven’t already, start saving for the holidays by setting up a sinking fund.

From Salon ● Nov. 26, 2024

A sinking fund is different from other kinds of savings accounts — like an emergency fund or a traditional savings account — in a few ways.

From Seattle Times ● Mar. 10, 2022

As the pandemic has strained Spelthorne’s finances and led to a rise in rent arrears, the council has moved to tap the sinking fund.

From Reuters ● Jun. 24, 2020

"Add to this what may be done by throwing in the aid of western lands and other articles as a sinking fund, and our prospect is really a bright one."

From Thomas Jefferson The Apostle of Americanism by Gilbert Chinard

Related Words

• cache
• reserve fund
• savings
• savings account
• stash
• stockpile