Static Budget

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Dictionary Says

Definition of 'Static Budget'

A type of budget that incorporates anticipated values about inputs and outputs that are conceived before the period in question begins. When compared to the actual results that are received after the fact, the numbers from static budgets are often quite different from the actual results.
Investopedia Says

Investopedia explains 'Static Budget'

When the static budget is compared to other facets of the budgeting process (such as the flexible budget and the actual results), two types of variances can be derived:

1. Static Budget Variance: The difference between the actual results and the static budget

2. Sales Volume Variance: The difference between the flexible budget and the static budget 

These variances are used to assess whether the differences were favorable (increased profits) or unfavorable (decreased profits).

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'Static Budget'

  • How Budgeting Works For Companies

    http://www.investopedia.com/articles/07/budgetingforcompanies.asp
    ... or static, budget. A static budget is a budget with numbers based on planned
    outputs and inputs for each of the firm's divisions. ...

  • Bailing On Your Budget - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0911/Bailing-On-Your-Budget.aspx
    ... Budgets should not be static. ... A crucial step to creating an effective budget is to
    incorporate change based on the feedback of trying each month. ...

  • How Taxes Affect The Economy - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/1211/How-Taxes-Affect-The-Economy.aspx
    ... The Omnibus Budget Reconciliation Act was passed in 1993 and it included a series
    of ... that changes in tax rates can't be analyzed in a static environment, but ...

  • Technology And The Death Of Print Media - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0112/Technology-And-The-Death-Of-Print-Media.aspx
    ... Given the choice between carrying a static piece of paper that can be cumbersome
    to navigate, one that becomes a relic the second it's published, and a dynamic ...

  • The Pitfalls Of Borrowing From Your 401(k) - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/1211/The-Pitfalls-Of-Borrowing-From-Your-401k.aspx
    ... Particularly in 2011, when a static currency means that mortgage lenders are
    closing in on the theoretical minimum rate for fixed mortgages. ...

  • Which Is The Better Lender – VISA Or A Bank? - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0212/Which-Is-The-Better-Lender--VISA-Or-A-Bank.aspx
    ... (For related reading, see Who Backs Up The FDIC?). SEE: Credit Cards. The answer
    is both yes and no, because "interest rate" is rarely a static concept. ...

  • Protecting Your Retirement Assets

    http://www.investopedia.com/articles/financial-theory/08/risk-ruin.asp
    ... no-credit, cash budget. Tactical asset allocation - Is desirable in order to avoid
    significant losses in any given year. Strategic (or static) asset allocation ...

  • Deadly Flaws In Major Market Indicators

    http://www.investopedia.com/articles/economics/11/flaws-in-market-indicators.asp
    ... and energy costs have a significant impact on one's spending budget and generally ...
    For one, the basket of goods is fairly static, changes infrequently and may ...

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