Combining Line-item Budgeting
with
Automatic Budget Reallocation Expenditures can be budgeted using a combination of line-item
budgeting of some subaccounts and
pool budgeting (Automatic Budget Reallocation)
of others. For example, if an administrator wished to spend only $100 for
office supplies, but wanted to pool budget $2900 for all the other kinds
of supplies, the following budget could be entered for the supply subaccounts:
All expenditures for office supplies would be charged to the $100 budgeted, but expenditures for any other supply subaccount would be charged against the $2,900 pool budget. If the $100 budget were exhausted, an overdraft would show at that subaccount. For an illustration of how expenditures against lab supplies or shop supplies would affect the budget pool, review Automatic Budget Reallocation. Budgeting with a combination of line-item and pool budgeting is available on a fiscal-year or project-period basis only. It cannot be used on a monthly basis. How Automatic Budget Reallocation [pool budgeting] Works in FAS E-mail comments about this site |