Definition, Meaning & Synonyms
administrative-fee
Noun
/ədˌmɪn.ɪˈstreɪ.tɪv fiː/
Definition
An administrative fee is a charge associated with the costs incurred by an organization to manage or process transactions, services, or activities.
Examples
- Many rental agreements include an administrative fee for processing applications.
- The bank charged an administrative fee for the account maintenance each month.
- Before signing up, be sure to check for any hidden administrative fees.
Meaning
This term refers to the money collected to cover the overhead and operational costs tied to various administrative tasks such as paperwork, data processing, and general management.
Synonyms
- processing fee
- service charge
- management fee
- transaction fee
