What is a Rolling Budget?
A rolling budget or continuous budget is a business budget which is updated on a regular basis. The period of the budget remains the same throughout, but the content changes as each month is updated with actual figures and the remaining budget revised.
Budgets are a map of where a business is going, they are a guide, not a manifesto to be stuck to come what may. To make them useful they need to be updated on a monthly basis and used to manage.
Using a rolling budget, the business always has a map, but the route changes (hopefully only slightly) each month from the original. It now has a dynamic tool which enables it to refocus as and when necessary.
For further information on a Rolling Budget see the Wikipedia definition.
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