Incidental expenses, such as small travel fees, can significantly accumulate and affect budgets, requiring tracking for tax deductions.
Examples of these expenses include:
These expenses do not fit neatly into budget categories, but they can accumulate into meaningful amounts, affecting both personal finances and business operations.
According to Brex, for individuals, these overlooked charges can mean the difference between staying within a travel budget or exceeding it by hundreds of dollars over the course of the year.
For businesses, incidental expenses create accounting challenges, complicate tax filings, and trigger audit questions when poorly documented.
The problem isn’t any single transaction but rather the volume of small purchases that require consistent tracking and clear policies.
Author's summary: Incidental expenses significantly impact budgets and require tracking.