This guide covers the full Budget by Area lifecycle — from creating and approving budgets through to reconciliation and reporting.
1. Creating a New Budget by Area
Understanding the chart of accounts, calculating area sizes, applying percentages or concessions to a tenancy, and adding a draft budget.
2. Structuring Budget Schedules
Selecting the appropriate allocation method, handling multiple schedules with the same expense, and assigning expenses to schedules.
3. Approving Budgets
The approval process, invoice allocation strategies, incorporating owner contributions, using approval templates, and common pitfalls to avoid.
4. Modifying a Budget
Integrating a new tenancy, adjusting budget details, and using the Skip & Approve option on an approved but unreconciled budget.
5. Rolling Over a Budget
Generating a sequential copy of the existing budget and planning continuity at the end of a budget period.
6. Budget Reconciliation
Allocating income across areas and tenancies, managing schedules, locking and reconciling the budget, and distributing reports to stakeholders.
7. Budget Reporting
Reports available for Budget by Area to monitor and communicate financial performance.
Budget by Area is referred to as Budgeted Outgoings in Asia-Pacific, Service Charge in Europe, and Operating Expenses in North America. For more information on regional terminology, see our Glossary of Regional Terminology.