In the Ledger Budget screen, select a Ledger from the List of Ledgers and enter
can also be defined for Cost Centres pertaining
to Ledger Accounts wherein you can repeat the same ledger with another Cost
the cost centre for the Ledger Account in the Cost
Centre field. Select Not Applicable if the budget is not for a particular cost
centre, but for the company.
Type of Budget, select from the following two types.
1. On Nett Transactions
this option to monitor the transaction amounts and not the balances. Nett is
net of debits and credits for the specified period. Nett transactions Budgets
specified for a period automatically gets apportioned over the period. i.e.,
When On Nett transactions Budgets are defined, the
debit amount for the specified period after reducing the credits for the same
period is considered without taking into account opening and closing balances.
For example to compare transactions against budgets, especially revenue income
and expenses On Nett Transactions can be selected.
2. On Closing Balance
this option to monitor the balances of the Accounts and the not the transactions.
i.e., each month will have the same budget value except that the actual Opening
Balance is also taken into account. Budgets on Closing balances can be set for Bank Account Ledgers, Debtors Ledger balances and so
on. For example to compare closing balance figures in final statements,
especially Balance Sheet items like assets and liabilities, select Closing
the budget amount in the Amount field.
Note : Ledger Budgets get apportioned for each month.