Definition
Finance and Economy
A measurable reduction in existing or budgeted expenditure that has a direct financial effect.
Example: Consolidating the licences produced annual cost savings against the approved budget.
Also known as: cost saving, cashable savings
Context: State the baseline, calculation period and whether the reduction is cashable before reporting a figure as savings.
Source checked for Cost savings (opens in a new tab) Checked 2026-08-11