Flexible Expense

DEFINITION of 'Flexible Expense'

An expense that is easily altered or avoided by the person bearing the cost. Flexible expenses are costs that may be manipulated in amount or eliminated by not engaging in the activity that incurred the expense.

BREAKING DOWN 'Flexible Expense'

In personal finance, flexible expense are costs that are easily changed, reduced or eliminated. Spending money on entertainment and clothing represent flexible expenses. Even expenses that must be incurred, such as a grocery bill, can be considered flexible because the amount spent can vary.