Traditional cost allocation and Kubernetes are like oil and water, making it challenging to estimate and allocate costs due to the dynamic nature of containerized environments. However, there are strategies to overcome these challenges, such as using Quality of Service (QoS) classes to categorize containers by resource guarantees, breaking down costs into separate categories for labeling and tagging, establishing labeling and namespace standards, and splitting and allocating shared costs. Additionally, it's essential to consider satellite costs beyond the core cluster expenses, including management, storage, licensing, observability, and security costs. By implementing these best practices, teams can develop a process for allocating costs and gain better control over their AWS Kubernetes expenses.