are resources controlled by an entity as a result of past events, and from which future economic benefits or service

potential are expected to flow to the entity.

is the residual interest in the assets of the entity after deducting all its liabilities.

means future economic benefits or service potential that have been contributed to the entity by parties external to the
entity, other than those that result in liabilities of the entity, that establish a financial interest in the net assets/equity of
the entity, which:

refers to a government agency, department or operating/field unit. It may be referred to in this GAM as an agency.

is the gross inflow of economic benefits or service potential during the reporting period when those inflows result in an
increase in net assets/equity, other than increases relating to contributions from owners.

are decreases in economic benefits or service potential during the reporting period in the form of outflows or
consumption of assets or incurrence ofliabilities that result in decreases in net assets/equity, other than those relating
to distributions to owners.

comprise all funds derived from the income of any agency of the government and available for appropriation or
expenditure in accordance with law. (Section 3, P.D. No. 1445)

encompasses the processes of analyzing, recording, classifying, summarizing and communicating all transactions
involving the receipt and disposition of government funds and property, and interpreting the results thereof. (Sec. 109,
Presidential Decree (P.D.) No. 1445)

is the financial plan of a government for a given period, usually for a fiscal year, which shows what its resources are,
and how they will be generated and used over the fiscal period. The budget is the government's key instrument for
promoting its socio-economic objectives. The government budget also refers to the income, expenditures and
sources of borrowings of the National Government (NG) that are used to achieve national objectives, strategies and
programs.

are firm obligations of the entity arising from past events, the settlement of which is expected to result in an outflow
from the entity of resources embodying economic benefits or service potential.

means a basis of accounting under which transactions and other events are recognized when they occur (and not
only when cash or its equivalent is received or paid). Therefore, the transactions and events are recognized in the
accounting records and recognized in the financial statements of the periods to which they relate. The elements
recognized under accrual accounting are assets, liabilities, net assets/equity, revenue, and expenses.

means future economic benefits or service potential distributed by the entity to all or some of its owners, either as a
return on investment or as a return of investment.

are annual authorizations for incurring obligations during a specified budget year, as listed in the GAA. NEW
GENERAL APPROPRIATION

is the expenditure authority derived from appropriation laws, government ordinances, and other decisions related to
the anticipated revenue or receipts for the budgetary period. APPROVED BUDGET

is an act of a duly authorized official which binds the government to the immediate or eventual payment of a sum of
money. Maybe referred to as a commitment that encompasses possible future liabilities based on current contractual
agreement. OBLIGATION

are the authorizations programmed annually or for some other period prescribed by law, by virtue of outstanding
legislation which does not require periodic action by Congress. AUTOMATIC APPROPRIATION

the budgetary information consists of, among others, data on appropriations or the approved budget, allotments,
obligations, revenues and other receipts, and disbursements. BUDGET INFORMATION
are additional appropriations authorized by law to augment the original appropriations which proved to be insufficient
for their intended purpose due to economic, political or social conditions supported by a Certification of Availability of
Funds (CAF) from the BTr. SUPPLEMENTARY APPROPRIATION

is the authorization made by a legislative body to allocate funds for purposes specified by the legislative or similar
authority. APPROPRIATION

are the authorizations to support obligations for a specific purpose or project, such as multi-year construction projects
which require the incurrence of obligations even beyond the budget year. CONTINUING APPROPRIATION

is the original budget adjusted for all reserves, carry-over amounts, transfers, allocations and other authorized
legislative or similar authority changes applicable to the budget period. FINAL BUDGET

is the initial approved budget for the budget period usually the General Appropriations Act (GAA). The original budget
may include residual appropriated amounts automatically carried over from prior years by law such as prior year
commitments or possible future liabilities based on a current contractual agreement. ORIGINAL BUDGET

is an authorization issued by the DBM to NGAs to incur obligations for specified amounts contained in a legislative
appropriation in the form of budget release documents. It is also referred to as Obligational Authority. ALLOTMMENT

are increases in economic benefits or service potential during the accounting period in the form of inflows or
increases of assets or decreases of liabilities that result in increases in net assets/equity, other than those relating to
contributions from owners. REVENUE

are the actual amounts spent or paid out of the budgeted amounts. DISBURSEMENTS

is a comprehensive authority issued to all national government agencies, in general, to incur obligations not
exceeding an authorized amount during a specified period for the purpose indicated therein. It covers automatically
appropriated expenditures common to most, if not all, agencies without need of special clearance or approval from
competent authority, i.e. Retirement and Life Insurance Premium. GENERAL ALLOTMENT RELEASE ORDER

serves as the obligational authority for the comprehensive release of budgetary items appropriated in the GAA,
categorized as For Comprehensive Release (FCR). GENERAL APPROPRIATION ACT RELEASE DOCUMENT

covers budgetary items under For Later Release (FLR) (negative list) in the entity submitted Budget Execution
Documents (BEDs), subject to compliance of required documents/clearances. Releases of allotments for Special
Purpose Funds (SPFs) (e.g., Calamity Fund, Contingent Fund, E-Government Fund, Feasibility Studies Fund,
International Commitments Fund, Miscellaneous Personnel Benefits Fund and Pension and Gratuity Fund) are also
covered by SAROs. SPECIFIC ALLOTMENT RELEASE ORDER

authority issued by the Central Office to its regional and operating units to cover the latter’s cash requirements.
NOTICE OF TRANSFER OF ALLOCATION

authority issued by the DBM to central, regional and provincial offices and operating units to cover the cash
requirements of the agencies; NOTICE OF CASH ALLOCATION

authority issued by the DBM to agencies to cover the liquidation of their actual obligations incurred against available
allotments for availment of proceeds from loans/grants through supplier’s credit/constructive cash; NON-CASH
AVAILMENT AUTHORITY

authority issued by DBM to the Department of Foreign Affairs (DFA) and Department of Labor and Employment
(DOLE) to utilize their income collected/retained by their Foreign Service Posts (FSPs) to cover their operating
requirements, but not to exceed the released allotment to the said post; and CASH DISBURSEMENT CEILING