Saving for Periodic Expenses | Student Money Management Office (2024)

FAQs

What is an example of a periodic expense? ›

Here are some examples of periodic monthly expenses you may have: Tuition and fees. Books for classes. Back-to-school supplies for yourself and/or children.

Research Costs: Research the costs of different items and services to ensure they fit within your budget. Consider shopping around for the best deals. Track Expenses: Keep track of all expenses related to the team party. Use a spreadsheet or budgeting app to record each expense as it occurs.

These are the necessary expenses that remain the same each month, including your rent, car payment, and insurance. You generally need to make big changes in your life to impact these expenses, such as trading in your flashy ride for something more economical or shopping around for a better insurance rate.

In managerial and cost accounting, period costs refer to costs that are not tied to or related to the production of inventory. Examples include selling, general and administrative (SG&A) expenses, marketing expenses, CEO salary, and rent expense relating to a corporate office.

Periodic expenses include things like annual vehicle registration, major car repairs, and holiday gift giving. For things you know are going to come up at least once a year, set aside a little bit each month to cover the cost.

How do I track office expenses? ›

The three biggest budget items for the average U.S. household are food, transportation, and housing. Focusing your efforts to reduce spending in these three major budget categories can make the biggest dent in your budget, grow your gap, and free up additional money for you to us to tackle debt or start investing.

The 50-30-20 budget rule states that you should spend up to 50% of your after-tax income on needs and obligations that you must have or must do. The remaining half should dedicate 20% to savings, leaving 30% to be spent on things you want but don't necessarily need.

Fixed expenses, like rent, stay the same month-to-month. Variable expenses, like food and groceries, can vary month-to-month, and generally aren't due on a set date. Periodic expenses include expenses that are billed quarterly or annually, as well as expenses like vehicle maintenance that come up now and then.

A periodic payment is when someone pays a little bit of money over time instead of paying all at once. For example, instead of paying for a toy with one big payment, you might pay a little bit of money each week until you have paid for the whole toy.

Periodic income is received on a regular schedule, for example, once a month, once a quarter, once a year, etc. Periodic income, such as 1nterest income, will be computed by multiplying the amount received in a single payment by the number of times received in a six month period.