Budgetary Accounting

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Introduction

Oracle has three products for which to account and report on budgets;

1. Oracle General Ledger Budgeting
2. Public Sector Budgeting (Public Sector Budgeting)
3. Enterprise Planning and Budgeting (Planning Budgeting)

General Ledger Budget

Oracle General Ledger provides the basic budgeting functionality and has a variety of tools and interfaces to spreadsheet software to create, maintain, and track budgets in the General Ledger. Budgets can be created as amounts or as journals entries.

Data Access Set functionality has enhanced the General Ledger Budget module. A word of caution here as transactions can only be perform if the appropriate read and write access is given to the ledger, balancing segment values or management segment values as defined by the data access set.

There are several methods for entering and reporting on budgets in Oracle General Ledger;

1. Budget Formulas
2. Using Top-Down, Bottom-Up, and Middle-Out Budgeting
3. Using Mass Budgeting
4. Creating Master/Detail Budgets
5. Uploading Budgets from a Spreadsheet

Definitions

Budget A Budget in Oracle General Ledger represents a collection of estimated amounts for a range of accounting periods. A budget definition has periods to which the budget applies.

Budgets can only be created or copied from budgets within a data access set providing read and write access to the ledger and all of its balancing segment values or management segment values.

Budget Organization

A budget organization is a grouping of a range of accounts determined by the Accounting Flexfields. At least one budget organization must be defined.

TIP Create a Budget Organization of ‘ALL’ which contains all the range of Accounting Flexfields for the entire budget Organizations. The ALL budget organization can budget to all accounts.

Budget Formulas and Mass Budget

Budget formulas to calculate budget amounts and can be simple or complex. Calculating budgets using a budget formula the General Ledger replaces existing budget amounts directly, no journal entry exists.

Mass Budget functionality creates budget journals that to calculate budget amounts and the journal entry. Note that the budget journal can be created in currency or as statistical currency. Mass Budgets are defined with Budget Organization, Budget, and a formula. A concurrent program can schedule and be run to create the Budget Journal from the definition.

Budget Amounts and Budget Journals

Budget Amounts are entered to specific accounts and enter or replace budget balances.

Budget Journals are used to maintain an audit trail of the budget balances.

Budgetary Control

Budgetary Control is an optional feature in the General Ledger and is used normally in conjunction with Encumbrance Accounting. Budgetary control options can be defined individual accounts or ranges of accounts within budget organizations.

Budgetary Control Groups relate to sites and individuals. The group is established to determine funds availability or funds level checking of None, Advisory or Absolute control. Additionally, Budgetary Control Options are set for Journal Sources and Categories for each budgetary control group.

Public Sector Budgeting

Oracle Public Sector Budgeting supports the creation of budgets, including position budgeting for personnel services from Oracle HRMS systems. Public Sector Budgeting is used in conjunction with the Oracle General Ledger Budgeting functionality. There are no interface processes with Oracle Projects modules although information may be passed through customizations to the modules. Extracts from Oracle HRMS and Oracle Labor Distribution may be used for input. (Public Sector Budgeting)

Enterprise Planning and Budgeting

Enterprise Planning and Budgeting is a Web based enterprise application to control the business processes of planning, budgeting, and forecasting. Enterprise Planning and Budgeting is built on the Enterprise Performance Foundation (Planning Budgeting).

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Links

• Related: General Ledger, Public Sector Budgeting, Encumbrance Accounting, Planning Budgeting

This Topic Is Referenced By These Topics:
Related Links: AccountingSetup, AttachmentsGeneralLedger, AuditAbility, DataSecurity, FederalFinancials, FinancialImplementationGuide, GeneralLedger, GeneralLedgerImplementationGuide, GLFinancialReporting, GlobalIntercompany, GLOnlineInquiries, InternalControl, JournalEntry, OracleLoans, OtherMinorGLFeatures, PlanningBudgeting, PublicSectorFinancials, PublishDocControlReport

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