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Last name origins & meanings:

1. German: (mainly Switzerland) from a derivative of Butzo, a pet form of the personal name Burkhard (see Burkhart).
2. German: topographic name for someone who lived near a well, from Middle High German bütze ‘well’, ‘puddle’ (from Latin puteus).
3. German: nickname from Middle High German butze denoting something small: an apple core, a small piece of something left over, a small person, a poltergeist.