We should take a passage to be figurative when:

A literal understanding contradicts another passage.

It is said to be figurative.

A literal understanding contradicts known facts/common sense.

We should not take a passage to be figurative just because it contradicts our beliefs.

Figures of speech

Types:

Pleonasm (redundancy): “When more words are used than the grammar requires” (Bullinger). Example: That is a true fact.

Hyperbole (exaggeration): “When more is said than is literally meant” (Bullinger). Example: Everybody knows that.

Metonymy (change of noun): “The change of one noun for another related noun” (Bullinger). Example: Let’s get a head count. Example: He couldn’t give up the bottle. Head for ‘person,’ bottle for ‘alcohol.’

Synecdoche (transfer): “The exchange of one idea for another associated idea” (Bullinger). “We speak of the whole by a part, or a part by using a term denoting the whole” (Dungan). Example: He’s running from the law. The word law (the whole) refers to the cop chasing him (the part).

Simile (resemblance): “A declaration that one thing resembles another” (Bullinger). Example: He was hot as a firecracker.

Metaphor (representation): “A declaration that one thing is (or represents) another” (Bullinger). Example: During the time of the judges, Israel was on a rollercoaster.

Parabola (parable, continued simile): “Comparison by continued resemblance” (Bullinger).

Not-But: “The writers of the New Testament have adopted the Hebrew manner of comparison” (MacKnight).

Examples

Luke 2:1 - hyperbole

Romans 13:4 - metonymy

John 4:39 - hyperbole

Luke 15:4 - hyperbole

I Samuel 25:37 - hyperbole, simile

Psalms 23:1 - metaphor

James 1:12 - metonymy

Psalms 34:16 - pleonasm

Matthew 9:36 - simile

Acts 5:4 - not-but

Luke 16:29 - metonymy

Matthew 5:13-14 - metaphor

Matthew 13:3 - parable

Matthew 6:19-20 - not-but

Song of Solomon 4:1 - simile

Romans 10:13 - metonymy

The Holy Spirit used figures of speech to explain heavenly things using earthly concepts. In some cases, figures of speech were used to obscure a message from those it was not intended for. In other cases, figures of speech were used to emphasize particular concepts.