What are the needs of budget?

A budget is simply a spending plan that takes into account both current and future income and expenses. Having a budget keeps your spending in check and makes sure your savings are on track for the future.

Why budgetary control is important in business?

1. Budgets help managers in integrating personnel efforts within the organization towards a common goal. By properly appropriating adequate budgets to different activities within the organization, all activities can be synchronized and all efforts can be coordinated to achieve the organizational objectives.

What is the meaning of budgetary control?

Budgetary control is financial jargon for managing income and expenditure. In practice it means regularly comparing actual income or expenditure to planned income or expenditure to identify whether or not corrective action is required.

What are the factors that affect budgeting?

Factors Affecting the Budget

• Income of the Family.
• Size of the Family.
• Composition of the Family.
• Occupation of the Family members.
• Intercity Differences.
• Family Goals.
• Socio-economic Status of the Family.
• Gainful Employment.

Why is budgetary important?

Budgeting creates a spending plan for your money and can help ensure there is always enough money to pay for food, bills, and other expenses. Having a budget is a good tool to avoid credit card debt and promotes saving. Part of your budget should be allocated to saving for retirement and extinguishing debt.

What are the factors that influence planning and budgeting?

Your Budget: 5 Factors That Will Determine What It Looks Like

• Your Income Structure. The way in which money comes into your income statement is critical for planning cash flow.
• Your Spending Habits.
• Your Use (or Not) of Credit & Debt.
• Your Tech Savvy.
• Your Personality.

What are the factors of planning?

6 important factors in planning

• 1) Management and Executive time / input –
• 2) Commitment –
• 3) Cost –
• 4) Research –
• 5) Assumptions –
• 6) Review –