Keyword Analysis & Research: overhead

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Frequently Asked Questions

What expenses are considered overhead?

Overhead expenses are all costs on the income statement except for direct labor, direct materials, and direct expenses. Overhead expenses include accounting fees, advertising, insurance, interest, legal fees, labor burden, rent, repairs, supplies, taxes, telephone bills, travel expenditures, and utilities.

Does overhead include payroll?

A business's overhead refers to all non-labor related expenses , which excludes costs associated with manufacture or delivery. Payroll costs -- including salary, liability and employee insurance -- fall into this category. Overhead expenses are categorized into fixed and variable, according to Entrepreneur.

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