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Definition of

budget variance


difference between budget estimate and reality the difference between the financial value of something estimated in the budget, such as costs or revenues, and its actual financial value

Recommended Further Reading (Term count)
  • Project Planning Techniques for Small and Medium Enterprises
    by Damian Merciar
    One working definition of a project would be that it is a one-off job that has a known start time, a planned end time, and an intended outcome, and that it would include a defined scope of work, a budget, and personnel assigned to carry out the work. What distinguishes a project from regular work is that it is multi-task in nature—it is not a single job repeated.This is where the Project Management Institute Body of Knowledge (PMBOK) comes to...
budget variance - Related Articles
  • Project Planning Techniques for Small and Medium Enterprises

    Best Practice

    from these figures that the project was running 50% over budget. In fact, in this instance it would be more accurate to use the budget variance figure of $200, which is only 20% over budget.
    By Damian Merciar

  • How Can Internal Audit Report Effectively to Its Stakeholders?

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    Audit Plan to be completed within the approved internal audit budget% variance from approved budget for the financial year5%Annually2. Implementation of internal audit recommendations2.1Internal audit recommendations accepted by management% of recommendations accepted by management (subject to internal
    By Andrew Cox

  • Management Accounts


    Management accounting can be applied to virtually any business, and each methodology can be tailored to meet the needs of different industries and sizes of company. However, any management accounting program should incorporate most of the following elements: variance analysis; rate and volume analysis; price


Definitions of ’budget variance’ and meaning of ’budget variance’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’budget variance’ and other financial terms with our online QFINANCE Financial Dictionary.

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