Which of the following is NOT a type of expense categorized in budgeting?

In budgeting, expenses are typically categorized into fixed, variable, and discretionary expenses. Fixed expenses refer to costs that remain constant over time, such as rent or mortgage payments, while variable expenses can fluctuate, such as groceries or utility bills. Discretionary expenses are those that are not essential and can be adjusted or eliminated, like entertainment or dining out.

The notion of "taxable expenses" is not a standard category within budgeting practices. While expenses can have tax implications, they are not a separate class of expenses in the context of budgeting. Taxable expenses might be a consideration for tax reporting or financial planning but do not fit within the typical budgeting framework used for managing personal finances. This distinction is why the answer indicating that taxable expenses are not a type of expense categorized in budgeting is accurate.