What are unforeseen expenditures?

What are unforeseen expenditures?
In budgeting the idea and hope is the writer of a budget is able to plan for every expenditure for the following fiscal year. Of course, doing so is extremely difficult and chancy. Therefore, one item almost every budget has is 'unforeseen expenditures'. This is a category where the bookkeeper assigns any cost which does not a specific place for it. For example; a budget for a small, family owned Deli would have Rent, Utilities, payroll, Janitorial, Cleaning Supplies, Capital Expenses (such as equipment purchases) building maintenance, food, Liability Insurance etc.

An example of an unforeseen expenditure might be a lawsuit for someone slipping on a wet floor which your insurance didn't cover and, therefore, you had to pay out of pocket. Another example might be a private party whose house was damaged in a hail storm and your insurance did not cover everything. Any out-of-pocket costs you incur would be considered an unforeseen expenditure.