Personal Expense

A personal expense is a cost that is paid by and benefits only one individual.

Personal expenses are separate from shared household costs because they represent individual choices, needs, or responsibilities.

Examples of personal expenses

Examples include:

  • Clothing.
  • Hobbies.
  • Personal subscriptions.
  • Individual transportation.
  • Personal meals.
  • Entertainment.

Personal expenses in shared households

Many couples and households separate personal expenses from shared expenses to maintain financial independence while still managing shared responsibilities.

A household budget may track shared costs while each person maintains their own personal budget for individual expenses.