An expense is a disbursement of money.
Spending is the action of spending (using money on something, deteriorating with use). In an economic sense, the amount that is spent or has been spent is known as an expense. Expenditure is a useful concept for families, companies or the government .
A family needs to control its spending so that the income allows it to meet its obligations and satisfy its needs. A company, for its part, must know its expenses in detail since they threaten its profit or profits. In the case of a government that does not seek financial returns, spending control is important to avoid fiscal deficit .
Paying for services (electricity, gas, telephone) and purchasing food, for example, are part of a family's expenses. Companies will also spend on inputs and salaries , while a government spends on public works.
Expenses and income
In this sense, we have to highlight that, for example, it is common for every self-employed or self-employed worker to make a monthly budget to be able to know the status of their company. Hence, establish a document where you record both the income you receive and the expenses (periodic and unforeseen).
In this way, you will be able to know if the business in question is growing, if it is stagnant or if its profits are sufficient to maintain its economy.
For a business to be successful, it must have more income than expenses.
Different types
Public expenditure is the expenditure carried out by public administrations. Social spending is public spending that is intended to cover people's basic needs.
And all this without forgetting that there is also the cost of representation . This refers to the monetary amount that is granted, for example, to a political representative so that he can meet the expenses that come with attending to the different social activities that he must carry out.
Expressions with the term expense
In the same way, and based on this meaning, we can highlight the fact that there are various colloquial expressions that make use of the term that concerns us now. Thus, for example, there is the adverbial phrase "bear the expenses" that is used to refer to the fact that someone is the one who is going to pay all the expenses generated by an activity itself. An example of this meaning would be the following phrase: "Manuel covered all the expenses for the company meal."
But that is not the only expression that uses the concept we are addressing. Another that does the same is "cover expenses" . What it tries to express is that a business itself is generating the necessary production to be able to meet all the expenses that have been created.
Other uses of the concept
For physics , flow is the amount of liquid or gas that passes through a pipe or orifice during a certain time and under certain circumstances.
Regarding deterioration due to use, expense refers to the problems, failures or shortcomings that arise in a thing due to its repeated use. A pair of sneakers can suffer wear and tear after several walks: "My shoes are so worn out that I slip."