```python
class Employee:
    manager_id = 1  # Class Variable
    def __init__(self, name, employee_id):
        self.name = name   # Instance Variable
        self.employee_id = employee_id   # Instance Variable
```

Georgia State University

Class variables are attributes that are common for all its instances and declared in the class definition. But Instance variables are unique to a particular instance and are declared inside the ```___init___()``` method. 
For example, if we have a Class called Employee, each employee (an instance) will have unique employee_id, but might have the same manager_id. So in this case, manager_id should be declared as class variable and employee_id should be instance variable. 

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