Summary level

The system will use a budget edit group to edit the budget. A budget edit group is a group of accounts and optionally accounting units grouped together for budget editing purposes. To learn how to create the budget edit group, see Defining budget edit groups. The edit will occur upon release of the transaction.

Example

LGE Corporation has an annual budget of $60,000 for the budget edit group called Equipment. This includes computer, printer, and desk accounts 55110 through 55130. Year to date, there are actual amounts totaling $50,000, leaving a remaining budget balance of $10,000.

Company 4321
Accounting unit 201

Budget edit group= equipment:

Computer

Printer

Desk

Account:

55110

55120

55130

Computer Budget

Printer Budget

Desk BudgetTotal annual budget

$10,000

5,000

45,000

$60,000

Computer Actuals

Printer Actuals

Desk ActualComputer actuals

$10,000

2,000

38,000

$50,000

Budget edit group balance $10,000

On May 1st, a purchasing agent at LGE Corporation enters a requisition for one computer at a cost of $2,000.

With the total budget of $60,000 and a new commitment of $2,000, the system calculates that the new requisition added to the $50,000 in actuals is within the budget. The system allows the requisition because the total budget for the budget edit group has not been exceeded, but the computer budget has been.

Computer Budget

Printer Budget

Desk BudgetTotal annual budget

$10,000

5,000

45,000

$60,000

Computer Actuals

Printer Actuals

Desk ActualComputer actuals

$10,000

2,000

38,000

$50,000

Commitment/Encumbrance 2,000
Budget balance $8,000