Expenses Category Lists are official documents that categorise and define a business’s various costs. This can range from operational expenses such as employee salaries to capital costs such as buying real estate or investing in equipment. By having a well-defined list of expense categories, businesses can plan ahead for future costs and accurately track their expenditures. Knowing how much is being spent and where it’s going helps prevent financial mismanagement and provides an overview of current fiscal health. Keeping an up-to-date Expenses Category List is an essential part of sound business planning.