Meaning & use

incremental expenses

noun·Advancedbusinessfinance

Last updated

UK/ˌɪŋkrəˈmentl ɪkˈspensɪz/
US/ˌɪŋkrəˈmentl ɪkˈspensɪz/

Meaning

  1. nounpluralbusinessfinance

    Extra costs that are added gradually, especially as a result of a change or increase in activity.

    Grammar: Always plural; use with plural verbs (e.g., 'are', 'were').

    Patterns

    • incremental expenses of something
    • cover incremental expenses
    • incur incremental expenses

    The project budget must account for incremental expenses such as additional staff hours.

    Moving to a larger office brought incremental expenses like higher utility bills.

    We need to track incremental expenses to see if the new policy is cost-effective.

Common combinations

incremental expenses associated with
The incremental expenses associated with the expansion were higher than expected.
cover incremental expenses
The grant will cover incremental expenses for the first year.
incur incremental expenses
The company incurred incremental expenses when it upgraded its software.
additional incremental expenses
We must avoid any additional incremental expenses.

Synonyms and how they differ

marginal costs
More technical and often used in economics; refers to the cost of producing one more unit.
additional costs
Broader; can refer to any extra costs, not necessarily ones that increase gradually.
extra expenses
Informal; simply means expenses beyond the usual ones, without the sense of gradual increase.

Opposites

fixed costsone-time expenses

Word family

incremental adjective
Increasing gradually in small steps.
increment noun
A small increase or addition.
expense noun
The cost of something; money spent.

Commonly confused: incremental expenses or incidental expenses?

incremental expenses vs incidental expenses

'Incidental expenses' are small, minor costs that happen by chance, while 'incremental expenses' are extra costs that grow step by step with increased activity.

Practice

The finance team analyzed the ___ expenses that would arise if production doubled.

Make it your own

Write a sentence using “incremental expenses”, then check it and compare it with the examples above.

Your sentence stays on this page and is not sent anywhere.

Explore more words