Budget Committee

AAA

DEFINITION of 'Budget Committee'

A group of people that creates and maintains fiscal responsibility for an entity or organization. In a company, this committee usually consists of the top management and the CFO. Budget committees typically review and approve departmental budgets that are submitted by the various department heads.

INVESTOPEDIA EXPLAINS 'Budget Committee'

Budget committees play key roles in the success or demise of a company or other corporate entity. Committees that are able to keep their organizational budgets on track ensure smooth operation and financial solvency; those that cannot will soon encounter financial problems.

RELATED TERMS
  1. Budget Planning Calendar

    A schedule of activities that must be completed in order to create ...
  2. Budget Manual

    A set of instructions used within large organizations to prepare ...
  3. Budgetary Slack

    The intentional allowance for extra expenditures in a future ...
  4. Revenue

    The amount of money that a company actually receives during a ...
  5. Budget

    An estimation of the revenue and expenses over a specified future ...
  6. Shortfall

    The amount by which a financial obligation or liability exceeds ...
Related Articles
  1. Six Steps To A Better Business Budget
    Entrepreneurship

    Six Steps To A Better Business Budget

  2. Bloated Budget? How To Trim The Fat
    Options & Futures

    Bloated Budget? How To Trim The Fat

  3. Top 5 Budgeting Questions Answered
    Options & Futures

    Top 5 Budgeting Questions Answered

  4. How To Invest On A Shoestring Budget
    Investing Basics

    How To Invest On A Shoestring Budget

comments powered by Disqus
Hot Definitions
  1. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  2. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  3. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  4. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  5. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
  6. Over The Counter

    A security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, etc. The phrase "over-the-counter" ...
Trading Center