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A discretionary fixed cost is an expenditure for a period-specific cost or a fixed asset, which can be eliminated or reduced without having an immediate impact on the reported profitability of a business.onsequently, though these costs are classified as discretionary, they should only be reduced when it is absolutely necessary to do so. The following can be considered discretionary fixed costs: 1  Advertising campaigns. 2  Employee training. 3  Investor relations. 4  Public relations.
The Definition of Fixed Expenses. Fixed expenses cost the same amount each month. These bills cannot easily be changed and are usually paid on a regular basis, such as weekly, monthly, quarterly or from year to year. It's much easier to budget for fixed expenses than a variable expense or discretionary expense. Typical household fixed expenses are mortgage or rent payments, car payments, real estate taxes and insurance premiums.