haircuthair·cut /ˈheəkʌtˈher-/ noun [countableC] American EnglishAmEFINANCE1a small amount off the normal selling price of a bond, share etcCongress forced depositors to take a mandatory 10 to 15% haircut in order to regulate the industry.
2a reduction in the budget for a plan, investment etcBy year end, the project had been given three haircuts, and the managers began to worry about its final outcome.