operating expenses
Day-to-day costs
Operating expenses are the ongoing costs a business incurs through normal operations—rent, utilities, payroll, supplies, insurance.
Distinguished from capital expenditures (one-time purchases of assets) and cost of goods sold (direct production costs).
The company cut operating expenses by moving to a smaller office.
Often abbreviated OPEX in business contexts.
- depreciationAsset value reduction over time
- overheadLocated directly above
- salariesFixed regular payments for work
- payroll taxesCompulsory deductions from wages
- utilitiesEssential infrastructure services
keeping the lights on · travel expenses · insurance · out of pocket · maintenance · taxes · amortization · burn rate · supplies · rent · advertising · fixed costs · accounts payable · variable costs · bottom line · lease agreements · employee benefits · EBITDA
- accountingbookkeeping, ledger, balance sheet, general ledger, accounts payable
- business accountingaccounts payable, accountant, accounts receivable, accounts, accrual
- financialsincome, profit, earnings, net income, net profit
- cost analysiscost analysis, cost assessment, cost basis, cost savings, direct costs
- Investment Feesfees, brokerage fees, commissions, management fees, account fees
- restaurant financeslabor costs, profit margins, daily sales, payroll, overhead
operating expensescapital expenditures
Spending on lasting assets
capital expenses · capital investments · long-term investments · infrastructure investments · capital improvements
operating expensesoperating income
Earnings from core operations
revenue · earnings · sales · gross income · operating profit
operating expensesinvestment losses
Diminished value of assets
operate, expense, operation, cooperation, operator, cooperative, cooperate, operating, operative