Unexpected expenses are costs that arise suddenly and are not planned for in a budget. These can include things like car repairs, medical bills, or home maintenance issues. Such expenses can disrupt financial stability and may require immediate attention, often leading to stress for individuals or families. Managing unexpected expenses is crucial for maintaining financial health. Setting aside an emergency fund can help cover these costs without derailing other financial goals. It's important to regularly review and adjust budgets to accommodate potential surprises, ensuring that individuals are better prepared for the unexpected.