| money contributed to a political candidate or party that is not subject to federal regulations. |
| soft money n. Political donations made in such a way as to avoid federal regulations or limits, as by donating to a party organization rather than to a particular candidate or campaign. |
soft money
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Soft Money
1. The "one-time" funding from governments and organizations for a project or special purpose.
2. Paper currency, as opposed to gold, silver, or some other coined metal.
Investopedia Commentary
A good example of soft money is the campaign funding that politicians get during election years. The money received is not recurring and it is to be used explicitly for election related expenses.
See also: Hard Money, Soft Currency