Fixed expenses (in Dutch: vaste lasten) are the costs that return every month or year and that you have committed to through a contract or obligation. Think of rent, energy and insurance. For most households they are by far the largest part of the monthly budget - often 50 to 60 percent of income.
Which costs are fixed expenses?
The main categories at a glance:
- Housing - rent or mortgage, usually the biggest item.
- Energy - gas and electricity.
- Water - drinking water and sometimes water board taxes.
- Health insurance - the mandatory basic insurance plus any supplementary packages.
- Internet and TV - your home connection.
- Mobile phone - a subscription or SIM-only plan.
- Insurance - contents, liability, car and travel insurance.
- Municipal taxes - waste collection, sewerage charges and property tax.
- Transport - public transport pass, road tax, car insurance and lease costs.
- Subscriptions - streaming services, gym, newspapers and magazines.
The difference from variable expenses
Variable expenses also recur, but the amount differs per month and you can influence them directly. Groceries, fuel, clothing and going out are typical examples. The distinction matters: you can cut variable expenses immediately, while fixed expenses usually involve a notice period or contract.
Why knowing your fixed expenses pays off
If you know your fixed expenses, you know exactly how much leaves your account every month at minimum. That insight helps with:
- Budgeting - you know what is left for groceries, savings and fun.
- Saving money - you quickly see which contracts are expensive compared to the average of similar households.
- Big decisions - moving house, changing jobs or growing your family: everything starts with knowing where you stand.
Ready to bring your monthly costs down? Read our ten practical saving tips.
Include yearly costs
Some fixed expenses are paid once a year, such as municipal taxes or an annual insurance policy. Divide those amounts by twelve and add them to your monthly costs. That way you avoid surprises and automatically set money aside for the yearly bill.
Calculate your own fixed expenses
With the free VasteLast calculator you list all your fixed expenses in a few minutes. You immediately see your monthly total, a breakdown per category and a comparison with the average of similar households - no account, no ads. Want to know how much savings buffer fits your fixed expenses? Try the buffer calculator.