A variable expense is a cost that fluctuates in amount and frequency based on various factors. Unlike fixed expenses, which remain constant regardless of business activity, variable expenses change proportionally with changes in the level of activity or revenue.
It is calculated as a percentage of an order's revenue/returned amount or fixed amount and allocated to the metric of your choice.
In this article, you will find also guides for Contra Variable Expense
Adding a variable expense
Navigate to Settings
Click Costs
Select Custom and Variable Expenses
Click +Variable Expense
Note: Not sure of the difference between one-time expenses, recurring expenses, and variable expenses? Click here to learn more
Select the Expense Status
Active - Expense that is ongoing.
Ended - Expenses that was active or ongoing at some point but have since ended or been completed.
Active with End Date - Expense that is currently active but has a predefined end date or expiration date.
Fill the Category, select the Metric Allocation, fill the Expense Label
Set Conditions, if needed (i.e. fulfillment status, country, total items, etc.)
Select how the variable expense is calculated
Set the Expense Amount
Fill the Payment Date
Click Save
Create Contra Variable Expense
Contra expense and variable expense are typically used when you receive a refund/credit for an expense or when the cost is lower, for example, if you receive money back from your supplier for any reason.
Navigate to Settings
Click Costs
Select Custom and Variable Expenses
Create Contra Variable Expense
Fill in the details the same as Variable Expense
Editing variable expenses
Navigate to Settings
Click Costs
Select Custom and Variable Expenses
Go to the expense you wish to edit and click the options icon (three small dots) on the right
Click Edit
You can edit the Category, Expense Label, and Expense Amount
Click Save
Editing variable expenses
Navigate to Settings
Click Costs
Select Custom and Variable Expenses
Go to the expense you wish to edit and click the options icon (three small dots) on the right
Click Delete
Click Delete
⚠️Deleting an expense will delete all its history and will apply retroactively