Fixed vs variable costs
Why high fixed costs make you fragile when income drops.
In the app: 2 lessons · 1 quick check
Key points
1. Two kinds of expense
- Fixed — the same every month whatever you earn: rent, school fees, loan repayments.
- Variable — changes with your choices: food out, transport, data, clothes.
2. Stay flexible
- Before taking on a new fixed cost — a bigger flat, a car loan — ask whether you could still pay it in your worst month. Mark each expense as fixed or variable in Wealth Builder…
Lower fixed costs plus an emergency fund = less fear when business slows down.
The full lesson is in the Kopkad app
Worked examples in naira, quick checks to test yourself, and the step-by-step guide to doing it, free with your account.
Read more elsewhere
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Full lesson + tools in the Kopkad app
Track your money in Wealth Builder
Log income and spending in seconds, mark needs and wants, and see your budget update as you go.
- Full lessons with real examples
- Quick checks as you learn
- Wealth Builder tools to do it
Free to join. Find the lessons under Learn → Financial Literacy at app.kopkad.ng and in the Android app.