What are charges that increase project costs but are not typically part of regular service expenses?

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Indirect job costs are expenses associated with a project that are not easily attributed to a specific task or job but contribute to the overall cost of the project. These can include overhead costs, administrative expenses, and other costs that support the project but are not directly tied to specific services or materials.

In the context of a project, while direct job costs are those that can be directly linked to specific tasks or materials required for the project, indirect job costs encompass a broader range of expenses that may vary based on the scale of the project. Such costs might include items like utilities for the office during the project timeline, salaries of support staff not directly involved with the project, and related administrative expenses.

Understanding the distinction between direct and indirect costs is crucial for budgeting and financial analysis in interior design projects. By properly accounting for indirect job costs, designers can ensure a more accurate picture of project profitability and resource allocation.

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