Friday Feature - What Is the Net Effect?
When working on your budget, there are many ways to slice and dice the data. One way of looking at budget amounts is to take into consideration the accounts’ net effect on the fund balance. We added a Show NEFB flag on the search page of the Budget Entry activity based on an idea from Redding SD and Gateway USD, and we are sure that you are going to find this column really helpful, too. If you set the Show NEFB flag to YES in your search criteria, you will see an extra column, next to the Model Amount, calculating the net effect on fund balance.
This new NEFB column uses the formula: Beginning Balance + Revenues – Expenditures – Designated = Undesignated Balance (or NEFB), creating an easy way for districts to verify that the appropriate resources are budgeted with revenues equaling expenditures. Notice how the total is zero! Revenues and expenditures match. Verified!
Of course, there are tons of other great flags for the Budget Entry list, like showing accounts without budget amounts, only showing accounts with zero amounts, and including/excluding restricted accounts, vacancies and such. All of which makes your budgeting task much easier.