What is a Budgeting Fund?

A budgeting fund is an annual compilation of the projected revenues and expenditures for a government fund. This information is tracked against actual results throughout the budget period, so that government accountants and managers can maintain a proper level of control over the operational results of the entity. A budgeting fund is especially critical for a government entity, which has caps imposed on its expenditure levels, and so cannot afford to spend an excess amount.