What are fixed expenses?

Fixed expenses refer to regular payments that remain constant month after month. These include costs such as rent or mortgage payments, insurance premiums, and other ongoing commitments that do not fluctuate in amount. Understanding fixed expenses is essential for personal financial planning, as they form the foundational obligations that must be met regardless of other spending.

Other options highlight varying types of expenses, such as those that change month to month or are irregular, but they do not align with the concept of fixed expenses, which are characterized by their stability and predictability in financial planning.