In the Group Budget screen, select a Group from the List of Groups and enter
the cost centre for a group in Cost Centres field,
select Not Applicable, if
the budget is not for a particular cost center.
In 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 Balances.
the budget amount in the Amount field.
Note : Group Budgets do not get apportioned whereas Ledger Budgets get apportioned for each month.