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June 17, 2020
Question

Trying to figure out how to best keep my budget accurate. I list the income and the anticipated expenses. Any Unexpected expenses messes up the bottom line net profit

  • June 17, 2020
  • 2 replies
  • 7 views
No text available

2 replies

vpcontroller
Level 7
June 17, 2020

 

@rlindgren74 

 

There's no specific accounting rule on how to handle unexpected budget variances. It's normally a one-time occurrence when that happens. And always happens in business. Some companies treat this other expense type which falls below the operating income line, that way it will show the comparison budget vs. actual trend in the P&L. I hope this helps!

Fiat Lux - ASIA
Level 14
June 18, 2020

@rlindgren74 

What kind of business do you run? Consider having a 3rd party app to control your budget.