Performance Budgeting
Performance budgeting is a financial management approach that links the funding of programs to the results they achieve. Rather than just focusing on how much money is spent, it emphasizes evaluating the effectiveness and efficiency of expenditures. Governments and organizations set specific performance goals and measure outcomes to ensure that resources are allocated to initiatives that provide the best value and impact. This method aims to improve accountability and make better-informed decisions about where to invest money, ensuring that public funds lead to tangible benefits for society.
Additional Insights
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Performance budgeting is a financial planning approach that links the allocation of funds to the results or outcomes that agencies or programs aim to achieve. Instead of just focusing on how much money is spent, performance budgeting evaluates the effectiveness of that spending by measuring the achievements and impacts of various programs. This method helps ensure that public funds are used efficiently, encouraging accountability and transparency by showing how investments lead to specific goals, such as improved services or better community outcomes. It's about getting more value for money in government spending.