DEFINITION of 'Budget'



A surplus budget means profits are anticipated, while a balanced budget means that revenues are expected to equal expenses. A deficit budget means expenses will exceed revenues. Budgets are usually compiled and re-evaluated on a periodic basis. Adjustments are made to budgets based on the goals of the budgeting organization. In some cases, budget makers are happy to operate at a deficit, while in other cases, operating at a deficit is seen as financially irresponsible.


Loading the player...
  1. Performance Budget

  2. Chasing Nickels Around Dollar Bills

    A slang term describing what a company's management does when ...
  3. Revenue Deficit

  4. Revenue

  5. Cash Budget

    An estimation of the cash inflows and outflows for a business ...
  6. Zero-Based Budgeting - ZBB

  1. What's the difference between budgeting and financial forecasting?

    Budgeting and financial forecasting are financial planning techniques that help business personnel in the decision-making ... Read Full Answer >>
  2. What are the pros and cons of operating on a balanced-budget?

  3. How can you use a cash flow statement to make a budget?

  4. How do I import QuickBooks Pro Account trial balances for the first time?

  5. What is the purpose of drawing up a cash flow statement?


Related Articles
  1. Budgeting

    How Much Debt Can You Handle?

  2. Savings

    10 Tips For Achieving Financial Security

    Follow this sound advice and plan for a comfortable future.
  3. Options & Futures

    Bloated Budget? How To Trim The Fat

  4. Options & Futures

    Top 5 Budgeting Questions Answered

  5. Budgeting

    3 Alternative Budgeting Styles: Which One Suits You?

  6. Budgeting

    Tips For Avoiding A Holiday Spending Hangover

  7. Savings

    Is Your Financial Situation Sustainable And Renewable?

    Ensuring long-term financial security takes planning and foresight.
  8. Budgeting

    The Beauty Of Budgeting

  9. Budgeting

    8 Steps To An Organized Financial Life

  10. Credit & Loans

    Prevent Bankruptcy With These Tips

    This financial decision should only be used as a last resort. Find out how to avoid it.

You May Also Like

Hot Definitions
  1. Expected Return

  2. Carrying Value

  3. Capital Account

  4. Brand Equity

  5. Adverse Selection

Trading Center