When making a budget, entrepreneurs may account for some of the more obvious expenditures, such as payroll and production costs. However, some important expenses might be overlooked—which can significantly impact the health and longevity of a business.

To help you create a more accurate business budget, members of Young Entrepreneur Council discuss some of the less obvious costs of running a business. From professional development to software upgrades, make sure your budget accounts for these key expenses.

What’s one expense entrepreneurs need to make sure they budget for each year but that they might easily overlook? Why is it so important?

1. Your own salary

Way too many people go into business making decisions around profitability without thinking about their own basic needs. You do not necessarily need to pay yourself, but you should be part of the equation. If you are making pricing decisions, contract decisions, or expense decisions without thinking about paying yourself, you are making a mistake. —Zane Stevens, Protea Financial

2. Potential business opportunities

Budget for unexpected opportunities. Having such reserves allows for seizing arbitrage investments without compromising existing budgets. It’s a strategic allocation of your capital, ensuring flexibility and the ability to take advantage of unforeseen and unplanned opportunities while fostering business agility. —Devesh Dwivedi, Higher Valuation

3. Bonuses and team-building activities

Budget for annual bonuses and team-building initiatives. Most businesses distribute a profit share or fixed bonuses annually, and organize activities (such as a Christmas party), without budgeting and allocating this throughout the year. This can quickly jeopardize any form of profitability assessment or financial targets early in the year and tank the cash deposits when the time comes. —Mario Peshev, DevriX

4. Industry research

To grow a business and survive the cutthroat competition, you have to get acquainted with the needs of your customers, analyze competition, and be familiar with ever-changing market trends. This requires extensive research. So, you should have a clear idea of the funds and resources you may need. —Stephanie Wells, Formidable Forms

5. Business insurance

Entrepreneurs should not overlook budgeting for business insurance each year. This includes general liability, professional liability, and property insurance, which are essential for protecting against lawsuits, accidents, or damage. Adequate coverage is vital to prevent financial losses from unforeseen events. —Anna Anisin, DataScience.Salon

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