What does payout mean?

Asked by: Trevion Hermann  |  Last update: January 6, 2026
Score: 4.2/5 (27 votes)

A payout is a sum of money, especially a large one, that is paid to someone, for example, by an insurance company or as a prize.

What does it mean to get a payout?

A payout refers to the transfer of funds, assets, or benefits to individuals, entities, or investors. Typically, payouts are made as compensation, rewards, or settlements. Examples of payouts include salaries and wages, dividends, and insurance settlements.

What is an example of a payout?

Some payout ratios include both dividends and share buybacks, while others only include dividends. For example, a payout ratio of 20% means the company pays out 20% of company distributions. If company A has $10 million in net income, it pays out $2 million to shareholders.

What is the meaning of paying out?

to pay a particular amount of money, especially a large amount, for something: I've just paid out €1000 getting the car fixed. (Definition of pay (something) out from the Cambridge Business English Dictionary © Cambridge University Press)

What is the full meaning of payout?

noun. an act or instance of paying, expending, or disbursing. money paid, expended, or disbursed, as a dividend or winning: He went to the betting window to collect his payout.

What does payout mean?

22 related questions found

What does a 100% payout mean?

When a stock has a 100% Dividend payout ratio it means that the company is paying a dividend that is equal to all of the companies free cash flow income. Such a situation can be a red flag for investors. Generally an investor should look for companies which have a dividend payout ratio below 60%.

What is payout cash?

A cash payout is the distribution of funds, typically in physical currency as a payment or compensation. Sometimes, funds can arrive via an electronic transfer.

How do paid outs work?

In essence, paid-outs are monetary transactions that involve withdrawing cash from the cash register for approved reasons, beyond sales or refunds.

What does paying me out mean?

To distribute money; to disburse. (nautical, transitive) To slacken a rope by lengthening it; to allow a rope to run out. (of a rope, intransitive) To slacken by lengthening. To repay, take revenge. (Australia, informal, transitive) To make fun of or insult, often in a teasing manner.

What does it mean to get paid out?

to distribute (money); disburse.

What are payout amounts?

Payout Amount means the vested portion of the Final Amount expressed as an amount of cash equal to the Fair Market Value of the shares of Stock underlying the RSUs and related Dividend Equivalents.

What does total payout mean?

Total Payout Amount means the total gross sum to be paid to all claimants according to the formula set forth in a certain section, deducted from the Maximum Gross Settlement Amount.

What is a good payout?

Determining a “good” dividend payout ratio depends on factors such as the industry, the company's growth stage and an investor's financial goals. For most companies, a ratio between 30% and 50% is considered optimal.

What does claim payout mean?

Many policies require a claim to issue a payout to the policyholder. An insurance claim is a formal request by a policyholder asking their insurance company for reimbursement to cover losses and expenses following an eligible accident, injury, or incident.

What is the difference between a refund and a payout?

A refund is a payment or payments made back to a user that previously paid into your merchant account. These are the differences between a refund and a closed-loop payout: Refund payment/s cannot exceed the total of the initial payment the user made. A refund is directly linked to a payment, not a payment source.

What is a full payout?

Full Payout: - Firm's distribute all net earnings to the shareholder, which mean a 100% payout.

What is the definition of paying out someone?

It means 'take revenge', as in this quotation from William Thackeray in 1849: 'You see if I don't pay you out after school—you sneak, you. ' It was still being used well into the twentieth century.

What does cash pay out mean?

(peɪaʊt ) countable noun. A payout is a sum of money, especially a large one, that is paid to someone, for example by an insurance company or as a prize.

What are paid outs?

A "Paid Out" is a transaction in which a cashier advances money to a guest and then charges the guest's account for the amount given. Paid Outs are posted as charges on the guest folio using "Make a Posting" on the Manage Billing screen. Paid Outs generate a receipt after they are posted.

What is payout payment method?

A local payout is a type of payment method that allows individuals or businesses to transfer funds to recipients within a specific country or region. It typically involves using local payment processors or financial institutions to facilitate funds transfer.

What is the difference between payout and payoff?

Pay out would not be part of a purchace on installment; pay out is what a company does to distribute funds. Payment - the individual amounts paid toward the total owed. Payoff- the final payment, or the amount that if paid now would be the full amount owed.

What is a paid out transaction?

Paid out transactions or “pickups” are used when money is removed from the cash drawer, such as tips paid to employees in cash or payments to vendors for products.

How does a payout work?

A payout is the share of profits that a listed company will pay its shareholders. If the payout set out in the company's shareholder remuneration policy is 50%, the company will distribute half of its net profits among its shareholders.

What is pay-in payout?

The Pay in and Pay out obligation in the contract note represent the total amount you either owe or are owed at the end of the day as settlement for your transactions.

Who uses payout?

In this context, payout refers to making a monetary payment to shareholders based on their initial investment and ownership of shares in the business. For businesses making sales: Payouts can also be used when businesses selling products and services receive payments from their customers.