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overhead

/ˌəʊ.vəˈhed/
IELTSAcademic
noun

A cost or expense needed to run a business or project, besides the direct cost of making something.

  • We must reduce our overhead.
  • Rent is a big overhead for small shops.
adjective

Located above your head or attached to a ceiling or roof.

  • There is an overhead light in the room.
  • The train has overhead storage.
adverb

Above your head or in the sky.

  • A plane flew overhead.
  • I heard birds singing overhead.

Adinary Nuance

Overhead is often used when you mean extra costs that are not part of making the product directly. Words like costs or expenses are broader, but overhead points to indirect running costs such as rent, power, and admin. In speech, it is common in business and work talks, so it sounds more specific than everyday expense.

In other languages

Vietnamese
chi phí gián tiếp
Spanish
gastos generales
Chinese
间接成本
Japanese
間接費
Korean
간접비

Etymology

Overhead comes from Old English words meaning “over” and “head.” It has been used in English for many centuries, first for things above you and later for business costs.

Common phrases

overhead costsoverhead expensesoverhead lightoverhead projector

Synonyms

Related words

Frequently asked questions

Is overhead the same as expense?
Not exactly. Expense is a general word, while overhead means indirect business costs.
Is overhead used in business writing?
Yes. It is very common in business, finance, and management writing.
Can overhead mean something above me?
Yes. It can describe something in the air or fixed above your head.
Is overhead formal or informal?
It is neutral, but the business meaning is more formal than everyday speech.