In developing the annual budget and quarterly forecasts, managers should keep the following in mind:
What is the current budget? How much has been spent year-to-date, and how much will be spent by year-end? (i.e., What is the forecast?)
Review account history. Run Banner reports "WGPBDSC" or "WGPBVSA" for the prior year (year-to-date and year-end) - how much had been spent by this time last year? Was the annual budget exceeded at year-end? (Or was the actual significantly less than budget?) How did it look the year before?
Has the department consistently come in over or under budget for several years in a row, and if so, why? Managers should keep in mind that neither situation is ideal. Continually requesting funds that are not needed (i.e., as "cushion" or "padding" - "just in case"), though it may ensure the department comes in under budget, it also takes dollars away from other departments and programs that legitimately need them, and forces university-wide reductions in areas that may be more critical.
What new initiatives are being planned for the department in the following year? How will they be funded? Do they correlate to or are they offset by revenue?
Are there ways in which the department might be able to reduce expenses?
Are there other departments with related work/responsibilities that may be budgeting for the same expense (i.e., has anything been "double-counted")?
Have clear, thorough supporting justifications and explanations been included with the department's requests? (The BannerWeb budget forms will not accept requests for changes without explanation.)
What has been spent year to date? How much of the annual budget has been spent so far - is the remainder sufficient to cover expenses for the rest of the year, or might there be some savings?
Are there going to be necessary expenses that were not anticipated at the time the budget was completed?
Review account history. Run Banner reports "WGPBDSC" or "WGPBVSA" for the prior year (year-to-date and year-end) - how much had been spent by this time last year? Was the annual budget exceeded at year-end? (Or was the actual significantly less than budget?)