Examples of a flexible expense
WebIs rent a flexible expense? Rent is not a flexible expense. It’s a fixed expense because it doesn’t fluctuate from one month to another. For example, you may have a lease contract of $1500 a month for the next year for a residential property. Flexible expenses vary regularly depending on usage and include items like utility bills and groceries. WebJun 28, 2024 · Discretionary Expense: A discretionary expense is a cost that is not essential for the operation of a home or a business. For example, a business may allow employees to charge certain meal and ...
Examples of a flexible expense
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WebOct 10, 2024 · Flexible Expense Examples. Food. Food is a variable expense that is essential for our everyday lives. Nonetheless, you can still control how much you want to … WebJun 25, 2024 · The simplest definition of an essential expense is one that you must pay. These can include: You might consider cable, non-business internet, dining out and some entertainment expenses as essential to your lifestyle, but if you are looking at missing payments that will damage your credit or possibly going into personal bankruptcy, these …
WebJun 27, 2024 · In the context of business, a variable expense is most commonly an expense that rises with production levels. Variable expenses also include strategic initiatives such … WebOct 19, 2024 · 3 Examples of a Flexible Budget. John Spacey, October 19, 2024. A flexible budget is a budget that changes according to business or activity volumes. This …
WebFeb 26, 2024 · Grocery shopping is an example of a flexible expense. Various articles of clothing are examples of flexible expenses. The consumer has the option of … WebJan 17, 2024 · Some expenses can contain discretionary, variable, and fixed categories. For example, you may need a cell phone for work or health reasons. Choosing between a brand-new phone or an inexpensive or refurbished phone is a variable expense. The basic, limited monthly voice plan is a fixed expense. However, an unlimited data plan is …
WebNov 17, 2024 · A flexible budget is a type of budgeting that adjusts to a company's activity or profit margins. This type of budget also accounts for variable costs, continuously …
Web3. Flexible expenses . The next group of expenses you will record on the worksheet are flexible . expenses. Flexible expenses are expenses that you can control. See the example below for other examples of flexible expenses. Also, you can use the Daily . Spending Diary (see “Budgeting Tools” section) to get an idea of how to control your ... top free youtube video editing softwareWebDec 16, 2024 · Pet expenses; One note: Fixed expenses are not the same as necessities. For example, the mortgage on a $400,000 house is not a necessity, neither are $500 per month car payments, but they would be considered fixed expenses. Flexible expenses. A flexible expense is anything that you could change if you wanted to without a drastic … top free youtube moviesWebJan 25, 2024 · 20 Common Monthly Expenses to Include in Your Budget. 1. Housing or Rent. Housing and rental costs will vary significantly depending on where you live. For example, the median home value in 2024 is … picture of mistletoe plantWebJun 13, 2024 · Continuing our discussion with the above example, a flexible budget will increase or decrease according to the actual number of items produced, i.e., 69,000. It will adjust the elements of costs in proportion to the output generated. ... the flexible budget for sales commission expense will be set at $200,000 or $300,000 respectively. Some of ... picture of mittens to cut outWebOct 23, 2024 · Use lined paper or a computer spreadsheet program to account for the timing of expenses. List the months, January through December, across the top in separate columns. Down the left side of the spreadsheet, list each expense on a separate line. If your utility bill runs an average of $200 a month, put $200 in each monthly column. top free word games to downloadWebDec 5, 2024 · Flexible budgeting assists in variance analyses (a process of breaking down budget to actual variances into their relevant components—volume, rate, and efficiency) by removing volume as a cause of the budget variance. Flexible budgeting takes the actual volumes experienced by organizations and flexes variable budget revenues and … top freeze dryerWebFeb 26, 2024 · The amounts don’t change—even if circumstances do. So let’s say, for example, based on what she made last year after taxes, a freelance graphic artist expects to make $60,000 this year. And using … picture of mistletoe hanging