Professional Documents
Culture Documents
System
Phlippine Government
Topic Outline
●Definition of Budgeting
●Government Budgeting
●Budget and Types of Budget.
●Master Budget
●Operating Budget
●Cash Flow
●Financial Budget
●Static Budget
●History of Budgeting System in the philippines
●Importance of Budgeting in the Government
Topic Outline
A cash flow budget is a means of A financial budget presents a company's A static budget, unlike a flexible budget, is a
projecting how and when cash comes in strategy for managing its assets, cash flow, fixed budget that remains unaltered regardless
and flows out of a business within a income, and expenses. of changes in factors such as sales volume or
specified time period. revenue.
Cash Flow Financial Budget Static Budget
History
20th Century the 2nd
philippine Commision
acting as legislative body to
enacted inn appropriation
mesures as annual
expenditures of the
1916 , According to Jones
governemment .
Law , The Philippine set in
two (2) : Philippine Senate
and House of
representative .
1935, The Constitution
establish both policy and
procedure which more
amplified in a series of laws
and executive act over the
years .
History
1936 , The Budget 1952 , In Philippine Bill the
commission was establish by disbursement from the national Treasury
executive order # 25 , issued made by law
on April 25 .
1937,
December 17 , The First budget
Law was pass at commonwealth
act #246
Why is the
Government
Budgeting
Important?
Importance of Budgeting
In Government
Government budgeting is important because it enables the government
to plan and manage its financial resources to support the implementation of
various programs and projects that best promote the development of the
country. Through the budget, the government can prioritize and put into
action its plants, programs and policies within the constraints of its financial
capability as dictated by economic conditions.
Planning-
Programming-
Budgeting-
SYSTEM
The planning, programing,
budgeting system (PPBS) is an integrated
management system that places emphasis
on the use of analysis for program
decision making. The purpose of PPBS is
to provide management with a better
analytical basis for making program
decisions, and for putting such decisions s
into operation of the planning,
programing and budgeting functions
The budgeting process in governments and highlights the important areas
in which budget information is incorporated into the financial statements of
governments. There are various components of a governmental budget:
Executive budget, appropriated budget, Non-appropriated budget. When
budgets are legally adopted, the budget modification process will be dictated by
the local laws of the government. NCGA Interpretation 10 (NCGAI 10)
describes the most significant categories that might give rise to these differences
between budgetary accounting and reporting and GAAP-based accounting and
reporting. These categories are: Basis of Accounting Differences, Timing
Differences, Perspective Differences, and Entity Differences. One of the primary
purposes of budgeting is to provide control over the revenues and expenditures
of the government. The budgets are an important part of maintaining control of
a government's finances and are a means of achieving the financial reporting
objective of accountability.
Planning , Programming , Budgeting
PROGRAMMING
Budget Budget
Budget Preparation Legislation Budget Execution Accountability
( DBCC , Agencies ) ( Congress ) ( Agencies ) ( Agencies , COA )
01 04
It all starts from the Budget call phase from the DBM that state the cost and revenue of
the various departments and agencies . Every department and angencies submit their Agency
Budget Proposal for the next fiscal year , This includes the deparment’s programs and projects .
02
agencies , Congress carefully consider their propositions on budget for their program and Budget accountability is the
projects of every department and agencies . This process would help the entire government to significant phase of the
balance the cost and revenues of every branch of the government to attain maximum income . budget cycle because it
ensures that the government
In this phase of the budget system , the congress should vote their approval on funds have been effectively
every budget proposals before they take it up to the president for confirmation and the final Budget Legislation and efficiency utilized to
approval of the budget for the next fiscal year . achieved the socio-
economic goals .
03
Budget Execution
The budget for the next fiscal year will come from the collected taxes and revenues on
the current year , If the budget is not enough then government will lend budget from the
foreign land . All budget funds cannot be dibursed without going through the procurment
process. The plans must first be clearly laid out ( Budget Execution Documents ) before the
release of the said budget .
Budget Process
Early Budget Call Agencies have more time Deliberations & Budget submitted
January to flesh out proposals, align Finalization right after SONA
with priorities & engage May-June July
stakeholders
January-April
Budget
Legislation
on schedule
August-December
Citizens are more
and more GAA enacted on time & Early Bidding
Implementation as serves release doc.
empowered October-December
Early as January Before end-December
throughout the
process
To better understand the topic,
Here is the video of the Budget Process!
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SELLEZA
TABILON
MURCIA
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S!