indirect cost


Definition of indirect cost 

: a cost that is not identifiable with a specific product, function, or activity

Examples of indirect cost in a Sentence

Recent Examples on the Web

In a speech, Mr. Carney said that a trade war would have direct costs to the global economy through reduced trade as well as indirect costs ranging from weaker business and consumer confidence to higher inflation and sagging productivity growth. Jason Douglas, WSJ, "Trade War Could Knock Global Growth, Says Bank of England Governor," 5 July 2018 Parents struggling to care for a child on the autism spectrum have the stress of direct costs -- such treatments and therapies -- and indirect costs, like loss of income for parents who need to work less, or not at all. Katie Parsons,, "The costs of autism strap many families," 3 July 2018 Each of the counties hope to get some compensation for the indirect costs of opioid use — like the tobacco settlements years ago that continue to generate funds for Idaho and other states. Audrey Dutton, idahostatesman, "Idaho counties are suing Big Pharma for enabling opioid abuse | Idaho Statesman," 15 Apr. 2018 The profits attributable to the assets being transferred are approximately $140 million, excluding depreciation, amortization and other direct and indirect costs, Shire said. Noemie Bisserbe, WSJ, "Shire to Sell Oncology Unit for $2.4 Billion as Takeda Mulls Takeover," 16 Apr. 2018 Angelenos spent an average of 102 hours last year in traffic jams during peak congestion hours, costing drivers $2,828 each and the city $19.2 billion from direct and indirect costs. Kirsten Korosec, Fortune, "The 10 Most Congested Cities in the World," 5 Feb. 2018 Other indirect costs of traffic, such as food truck operators’ also being stuck in traffic, comes to $45.6 billion per year. Ed Wallace, star-telegram, "Needed: A Roads Scholar," 24 Feb. 2018 Direct costs relate to the value of fuel and time wasted, and indirect costs refer to freight and business fees from company vehicles idling in traffic. Kirsten Korosec, Fortune, "The 10 Most Congested Cities in the World," 5 Feb. 2018 The city also included $100 million in indirect costs for the completion of Greenbrier Parkway and improvements to Alabama Highway 20, which provides the southern border for the plant site. Paul Gattis,, "Huntsville approves $320 million incentive package for Toyota-Mazda plant," 11 Jan. 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'indirect cost.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of indirect cost

circa 1909, in the meaning defined above

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Last Updated

5 Sep 2018

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Time Traveler for indirect cost

The first known use of indirect cost was circa 1909

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evasion of direct action or statement

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