Nonrecurring Charge


DEFINITION of 'Nonrecurring Charge'

An entry that appears on a company's financial statements for a one-time expense that is unlikely to happen again. A nonrecurring charge is a one-time charge for an unpredictable event.

Also known as a nonrecurring item.

BREAKING DOWN 'Nonrecurring Charge'

Nonrecurring charges appear on a company's financial statements under operating expenses. The company's earnings are correspondingly reduced for the time period shown in the financial statement; however, notations will make it clear that the nonrecurring charge is for a one-time, unusual event, and should not be considered an expense that the company will be exposed to again in the future. An example of a nonrecurring charge would be costs associated with replacing windows following a natural disaster.

  1. Balance Sheet

    A financial statement that summarizes a company's assets, liabilities ...
  2. One-Time Item

    An accounting item in a company's income statement that is non-recurring ...
  3. Discontinued Operations

    A segment of a company's business that has been sold, disposed ...
  4. Expense

    1. The economic costs that a business incurs through its operations ...
  5. Extraordinary Item

    Gains or losses included in a company's financial statements, ...
  6. Write-Down

    Reducing the book value of an asset because it is overvalued ...
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