Government Accounting

Government accounting refers to the system used by governmental entities to record, track, and report their financial transactions. Unlike private sector accounting, which focuses on profit, government accounting emphasizes accountability and transparency in the use of public funds. It follows specific guidelines to ensure that taxpayers’ money is managed effectively. This involves budget preparation, financial reporting, and ensuring compliance with regulations. Government accounting aims to provide a clear picture of financial health, ensuring that resources are allocated appropriately and spending aligns with policy goals. It helps promote trust between the government and its citizens.