Meaning
These are direct costs an individual pays from their own funds, without reimbursement.Definition
Personal payments for goods, services, or medical care made directly at the time of purchase, with no money back from an insurer or employer.Examples and Context
Common in healthcare (deductibles, co-pays), travel (meals), or unreimbursed work expenses. These costs are fully the individual’s responsibility.Financial Impact
They directly reduce disposable income. Budgeting for these potentially significant costs is vital for financial planning.Author
