Money Terms in Plain English.

W

W-8BEN form

A form that cuts the US tax taken from your US share dividends.

In plain English:A form you fill in, usually through your platform, so less US tax is taken from dividends on American shares you own.

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It lasts about three years and then needs renewing. Platforms usually remind you.

For example: Someone fills in a W-8BEN on their platform before buying US shares, so less tax is taken from their dividends.

Article inside Foliopeak: US Shares and Foreign Dividends: W-8BEN, Withholding Tax and Currency

Warm Home DiscountUK

A yearly discount on your electricity bill if you're on certain benefits.

In plain English:A yearly discount on your electricity bill in winter if you're on certain benefits. It's usually added automatically.

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It's paid by energy suppliers. Some suppliers aren't part of the scheme.

For example: A pensioner on Pension Credit gets a discount on their electricity bill each winter without applying.

Wash sale rule (US)

A US rule that blocks a tax loss if you buy the same investment straight back.

In plain English:An American rule that stops you claiming a tax loss if you buy the same investment back within thirty days.

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It's 30 days before or after the sale in the US, wider than the UK rule.

For example: A US investor sells shares at a loss and buys them back two weeks later, so the loss can't be claimed.

See also: Thirty-day rule

Wealth manager

A firm that manages investments for people with larger amounts of money.

In plain English:A firm that looks after investments and financial planning for people with a lot of money. Fees can be high.

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Many need a minimum amount. Fees can be high.

For example: Someone with £500,000 hires a wealth manager to run their investments and plan their retirement.

Web3

The idea of an internet built on blockchains, where people own their data through tokens.

In plain English:The idea of a new internet built on blockchains, where people own their data and online things through tokens.

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Supporters say it gives users more control. Critics say it's often hype.

For example: A web3 game lets players own their in-game items as tokens they can sell.

See also: Blockchain

Wedding gifts (Inheritance Tax)UK

Gifts for a wedding that are free of Inheritance Tax up to a limit.

In plain English:Gifts for someone's wedding or civil partnership are free of Inheritance Tax up to a limit, which is higher for your own children.

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The limits are £5,000 from a parent, £2,500 from a grandparent or great-grandparent, and £1,000 from anyone else.

They must be given on or shortly before the wedding. The wedding must go ahead.

For example: Parents give their daughter a gift for her wedding within the limit, free of Inheritance Tax straight away.

Article inside Foliopeak: The Seven-Year Rule and Gifting to Children

Whale (crypto)

Someone holding so much of a coin that their trades can move its price.

In plain English:Someone who owns so much of a crypto coin that when they buy or sell, the price moves.

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Blockchain data lets anyone watch large wallets. Big sales can crash prices.

For example: A whale sells a huge amount of a small coin, and its price drops by half within minutes.

Article inside Foliopeak: Cryptocurrency

Will

A legal document saying who gets what you own when you die.

In plain English:A legal document that says who gets your money, home and belongings when you die. Without one, the law decides.

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It should be updated after marriage, divorce or children. Marriage usually cancels an old will in England and Wales.

For example: A couple with young children writes wills naming guardians and setting up trusts.

Article inside Foliopeak: Wills and Lasting Powers of Attorney: Who Inherits, and Who Acts for You

Will trust

A trust written into a will that starts when you die.

In plain English:A trust set up in your will that starts when you die, often to protect money for children or a partner.

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Trustees follow the rules in the will. It can protect money from divorce or bad decisions.

For example: A father leaves money in a will trust for his children until they're 25, with their aunt as trustee.

Article inside Foliopeak: Trusts in Plain English

Windfall taxUK

An extra tax on companies making unusually big profits from events outside their control.

In plain English:A one-off or extra tax on companies making unusually big profits from events they didn't cause, like energy firms when prices spike.

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The UK's Energy Profits Levy on oil and gas companies came in after energy prices jumped in 2022.

They're controversial, as they can put off investment. The UK has used them before.

For example: After energy prices jumped in 2022, oil and gas companies paid an extra tax on their profits.

Winter Fuel PaymentApplies in England, Wales, Northern IrelandEnglandWalesN. Ireland

A yearly payment to help older people with heating costs.

In plain English:A yearly payment to help older people with heating bills in winter. Higher earners may have it taken back through tax.

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The amount depends on age and who you live with. You can opt out.

For example: A pensioner gets the winter fuel payment in November without having to claim it.

Withholding tax

Tax a country takes from dividends or interest paid to people abroad.

In plain English:When you get dividends or interest from abroad, that country may take tax off first. A treaty can lower it.

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Rates differ by country. Some can be reclaimed.

For example: A UK investor gets dividends from US shares with a lower rate of US tax taken off, after filling in a W-8BEN.

Article inside Foliopeak: US Shares and Foreign Dividends: W-8BEN, Withholding Tax and Currency

Work Capability AssessmentUK

The check of how an illness or disability affects your ability to work, for some benefits.

In plain English:A check of how your illness or disability affects your ability to work, used to decide some benefits.

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It usually involves a form and sometimes a medical. You can ask for a review.

For example: Someone with a long-term illness is assessed as unable to work and gets the health element added to their Universal Credit.

See also: Universal Credit

Working capital

The money a business has to run day to day.

In plain English:The money a business has for day-to-day running, worked out as short-term money minus short-term bills.

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Too little can make it hard to pay suppliers. Too much may mean money sitting idle.

For example: A shop has £50,000 in cash and money owed to it, and owes £30,000 soon. Its working capital is £20,000.

Workplace pension

A pension your employer sets up and pays into.

In plain English:A pension your employer sets up for you. You pay in, your employer pays in, and the government adds tax relief.

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You can opt out, but you'd lose your employer's payments. You can also pay in more.

For example: You pay 5% of your salary, your employer adds 3%, and the money is invested for your retirement.

Figures checked 11 November 2026. Source: gov.uk (opens in a new tab)

Article inside Foliopeak: The Employer Match, and Why It Comes First

Wrapped token

A token on one blockchain that stands for a coin from another blockchain.

In plain English:A token on one blockchain that stands for a coin from another, like bitcoin on Ethereum. It's only as safe as whoever holds the real coin.

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They let coins be used on other blockchains. The custodian is a risk.

For example: Someone uses wrapped bitcoin on Ethereum to lend in a DeFi app.

Article inside Foliopeak: Cryptocurrency

Writing-down allowanceUK

The share of equipment costs that comes off a business's profit each year.

In plain English:Each year, a business can take a set share of what's left of its equipment costs off its profit, until the cost is used up.

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There are main and special rate pools. It reduces each year.

For example: A business has £10,000 in its main pool and takes off its writing down allowance each year, lowering the pool each time.

Article inside Foliopeak: Depreciation and Capital Allowances: How Equipment Comes Off Your Tax

Written in trust

Life insurance set up so the payout goes straight to the people you choose.

In plain English:Setting up life insurance in a trust means the payout goes straight to the people you choose, faster and usually free of Inheritance Tax.

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It's often free to set up with the insurer. You choose the trustees.

For example: A mother writes her life insurance in trust for her children, so it's paid quickly and outside her estate.

Article inside Foliopeak: Life Insurance and Income Protection: The Gap Most Families Have