Apply Expenditure Budget Option

Select this option to access the Apply Budget page. In this page, you can apply budget projections to selected ledger accounts at the Requested, Recommended, or Future Year level. The system applies the budget projection percentages stored in the Organization Chart and Account List for the ledger accounts you select.

The budget projections are applied to the current data in the expenditure ledger worksheet. You can then use the Display Budget option to view the ledger accounts after the budget increase and decrease percentages are applied. Furthermore, you can save the ledger data to an iteration, if needed, using the Save Iteration option.

Important

You can apply projections as many times as needed. The system recalculates the amounts currently stored in the expenditure ledger worksheet for the selected ledger accounts at the indicated level, unless a record's Freeze field is set at that level. For more information on calculating projections, refer to the following System Processing section.

Menu Path:  Budget Preparation > Entry & Processing > Budget Preparation > Budget Administrator, click Apply/Move Budget in the Budget Administrator center's Expenditure section > select Apply Budget in the Apply/Move Budget page, and then click Next

System Processing

Following are descriptions of how the system applies budget projections at the Requested, Recommended, and Future Year levels. The section also includes information on how the Current Year Estimate (or Projected) value is calculated and how the Freeze field affects processing.

Requested Budget

When you apply projections at the Requested level, the system calculates the Requested Base field for the selected ledger accounts as follows:

Current Year Budget x (1.00 + Organization Chart % + Account List %)

• Organization Chart % equals the Requested Percent Increase/Decrease from Budget Preparation's Organization Chart.
• Account List % equals the Requested Percent Increase/Decrease from Budget Preparation's Account List.

Example: If the Current Year Budget is 100,000, and you project a 5% increase, the calculation is 100,000 x (1.00 +.00 +.05) = 105,000.

Important

Keep in mind that the system also generates Current Year Estimate (or Projected) values for accounts if a Percent of Current Year Completed percentage is set up in the Organization Chart or Account List.

Recommended Budget

When you apply projections at the Recommended level, the system calculates the Recommended Base field for selected ledger accounts as follows:

Current Year Budget x (1.00 + Organization Chart % + Account List %)

• Organization Chart % equals the Recommended Percent Increase/Decrease from Budget Preparation's Organization Chart.
• Account List % equals the Recommended Percent Increase/Decrease from Budget Preparation's Account List.

Example: If the Current Year Budget is 100,000, and you project a 6% increase, the calculation is 100,000 x (1.00 +.00 +.06) = 106,000.

Future Projections

When you apply budget projections at the Future level, the system updates the four Future Year fields in the selected ledger accounts' budget records based on the following formula:

Highest Level Budget Available x (1.00 + Organization Chart % + Account List %)

• Highest Level Budget Available is one of the following:
  Current Year Budget (lowest level)
  Requested Budget
  Recommended Budget
  Approved Budget
  Future Year Estimate (highest level)

• Organization Chart % equals the Future Year Percentage from Budget Preparation's Organization Chart.
• Account List % equals the Future Year Percentage from Budget Preparation's Account List.

Current Year Estimate

The system calculates Current Year Estimate (or Projected) values for selected ledger accounts when you apply projections at the Requested level. To determine this amount, the system uses the following formula:

Current Year YTD ÷ Percent of Current Year Completed

The Percent of Current Year Completed value comes from the Organization Chart and Account List table records in Budget Preparation that are tied to the accounts.

Example: If the Current Year YTD is 75,000 and the Percent of Current Year Completed is 50%, the calculation is 75,000 ÷.50 = 150,000.

Important

If percentages are stored in both tables, the system adds the two. Since this can result in a percentage greater than 100%, we generally recommend that you enter the percentage in one table and leave the other set to zero.

Freeze Field Setting

You can set a ledger account's Freeze field to prevent data from being overwritten by budget projections at a specific level. Following are the field settings that relate to the Apply Budget option:

D - Requested Level - Cannot apply projections at the Requested level.
R - Recommended Level - Cannot apply projections at the Recommended level.
F - Future Level - Cannot apply projections to Future Year fields.
N - Not Frozen - Can apply projections at any level.

Applying budget projection percentages to Expenditure Ledger accounts

1. Select Budget Preparation > Entry & Processing > Budget Preparation > Budget Administrator to display the Budget Administrator center.
2. Click Apply/Move Budget in the Expenditure section.
3. In the Apply/Move Budget page, select Apply Budget, and then click Next.
4. In the Apply Budget page, select the level where you want to apply budget projections:
   Requested
   Recommended
   Future Budget
5. Click Next.
6. In the Select Criteria for Applying Budget page, enter criteria identifying the ledger accounts for applying your budget projections. Leave the search fields blank to select all Expenditure Ledger accounts.
7. Click Finish.
8. In the confirmation dialog, click Yes to apply budget projections to the ledger accounts at the level you specified.