At the High Court in Glasgow, David Hobson pleaded guilty to murdering Gary Logue, 42 in a flat in Elderpark Street, Govan, on February 23 and then dumping his naked body.
Hobson is now facing a life sentence and later this month temporary judge Sean Murphy QC will determine how long he has to serve behind bars before being eligible for parole.
Advocate depute Andrew Brown QC, prosecuting, said: "There seems to have been past tension within the family following the alleged theft of money by Mr Logue from his mother's house while she was in hospital in 2010.
"Savings of £400 were taken.
"The accused was not happy about this, although he and his uncle continued to socialise together."
The court heard that on the night of the murder the two men had been arguing and Hobson was heard to say: "Did you steal the money out of my gran's purse?"
Mr Logue was heard to say: "No son, I never took it."
Hobson's girlfriend Caroline Ellis was wakened by a shout and went into the living room and found Mr Logue lying naked and covered in blood and Hobson was standing over him with a knife in his hand.
The court heard that Hobson told her to hold the close door open for him and he dumped his uncle's body a few yards away.
Miss Ellis then make an anonymous 999 call and police and ambulances attended at the scene.
The next day Hobson told a woman he met in a lift: "I think I murdered my uncle last night."
He added that it was because his uncle had stolen money.
The court was told that Mr Logue suffered a heart wound and would have died in minutes.
Solicitor advocate Liam Ewing said Hobson has expressed "profound regret", adding "He said his uncle went into the kitchen and took a knife from a drawer. He took it off him and struck one blow.
"He does not know why he reacted in this way to what was a minor argument."