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Finance Glossary

Just call us Bond. Amortized bond.

Over 700 finance terms, Shmooped to perfection.

Progressive Tax

Definition:

The wealthier you are, the harder you get dinged with a progressive tax. The rates increase as your wealth does.

Income tax is a good example of this: If you don’t make a ton slinging lattes, you get a lower tax rate. If you make a cozy seven figures as a lawyer, you get charged at a higher rate.