Page 21 - Book2E

Fixed Expenses: These expenses are the same every month. They include things like your rent or house payment or car payment. Examples of Fixed Expenses include:
• Rent/House Payment • Car Payment
• Loan Payment • Child Support
• Insurance •
• Alimony
Day Care
Variable Expenses: These are bills that must be paid every month but the amount due is not always the same. They include things like utilities, groceries, and gas for the car. Examples of Variable Expenses include:
• Utilities • Telephone
• Groceries • Credit Card
• Gasoline
Discretionary Expenses are those expenses that are optional. Examples of Discretionary Expenses include:
• Cell Phone
• Entertainment
• Hair Care
• Contributions • Clothing
• Dining Out
• Vacation •
• Gifts for Birthdays, Anniversaries, Holidays
Dry Cleaning
Periodic Expenses: These expenses do not have to be paid every month but only at certain intervals throughout the year. Examples of Periodic Expenses include:
• Tuition • Income Tax
• Property Tax • Auto License and Registration
• Insurance Premiums
Establishing a Budget 13