Policy 5 - Budgeting by Months
DATE ISSUED: November 1, 2001
The University operating budget will be spread by months throughout the fiscal year.
In addition to being a planning tool, an area's operating budget is also meant to be a financial guide to be used throughout the year. Monthly budgeting best serves this purpose. It also enhances an area's ability to "know where they are" during the year and to forecast year-end results.
This spread must reasonably reflect how an area's revenue and expense will occur during the fiscal year. It is not acceptable to spread the budget evenly by months if a material portion of an area's revenue and expense is known to occur other than evenly.