Companies focus on their fixed costs to maximize profits at the end of the fiscal year. If a company's fixed costs are too high, the company might not create a profit for that fiscal period.

Your first step is to define fixed and variable costs. Many businesses follow the accounting principle of categorizing costs that don't vary with sales and production as fixed expenses, regardless of ...

Fixed expenses are easier to plan around because they stay the same from one month to the next. Variable expenses, on the other hand, are less predictable. Understanding both types and how they impact ...

Budgeting, quite simply, is the act of spending your money efficiently. The importance of budgeting cannot be overemphasized, and whether you’re looking at your individual finances or running a ...

Discover what labor costs encompass, their categories—direct and indirect—and why they matter in pricing strategies to maintain profitability.

I'm a freelance financial journalist and a regular contributor to U.S. News and CreditCards.com. I've written for Life + Money by Citi, Bankrate and The Balance, among others. You can find me on ...