A controllable variance refers to the "rate" portion of a variance. ... Or, stated another way, the controllable variance is actual expenses minus the budgeted amount of expenses for the standard number of units allowed.

Which variances are controllable?

The controllable variance contains the fixed and variable overhead variances that can be influenced by management. These include variable spending, variable efficiency, and fixed spending variances. The spending variances occur when management negotiates a different price than the standard retail price.

What is the difference between the controllable and uncontrollable variances?

A variance is said to be controllable if it can be identified at the primary responsibility of a specified person, the size of controllable variance reflects the degree of efficiency of the person concerned. ... If the variance is beyond the control of the concerned person, it is said to be uncontrollable.