The Budgeting Process

The budgeting process involves planning and managing financial resources to achieve specific goals. It starts with assessing income and expenses, then setting financial objectives, prioritizing spending, and allocating funds accordingly. During this process, individuals or organizations project future income and estimate costs to create a balanced budget. Monitoring and adjusting the budget regularly ensures goals are met and helps avoid overspending. Ultimately, it serves as a financial roadmap, guiding decision-making and promoting efficient use of resources for stability and growth.