A budget should also include a justification for indirect costs. Indirect expenses are often reflected as a percentage of direct expenses. Costs such as depreciation and utilities are indirect expenses. Similarly, costs that benefit the entire organization but cannot be easily attributed to a project, such as shared secretarial and custodial services, are considered indirect expenses. After listing direct expenses, a manager totals the expenses and includes the budget justification for indirect expenses. For example: "Indirect expenses: $10,000. Direct expenses are $100,000, and the indirect expense ratio is 10 percent. 100,000 x .10 = 10,000."