EXPENSES: This is where you'll forecast all the expenses that are not directly related to your product sold. An expense is a cost that is paid in exchange for goods or services. The purchase of a capital asset such as a building or equipment is not an expense.
Some examples of expenses include:
- Office supplies;
- Electronic equipment;
IMPORTANT Employees are NOT an expense.
For more information about Employees, and how to enter them in Budgeto, take a look at the following article from our Knowledge Base: How to enter employees
How to fill the EXPENSES
1- ADD: This is where you Add a new expense.
Check the PDF (located at the bottom of this article) for a list of all the expenses available by default in Budgeto.
2- CATEGORY: This is the list of categories of expenses available. You can manage categories using the Expenses Categories (13) option.
EXPENSE: This is the list of expenses for each category. You can manage expense using the Expenses Categories (13) option.
3- COMMENT: This is a filed to insert a comment for each expense. This field is optional.
4- AMOUNT: This is the total amount ($) of each expense for the chosen frequency.
5- FREQUENCY: This is the frequency of occurrence of each expense (per month/per year/unique-one time only)
6- STARTING IN: This is the first month of occurrence of each expense
7- ENDING IN: This is the last month of occurrence of each expense
8- PAYMENT TERM: This is the number of days you have to pay your suppliers after receiving goods or services. You have the choice of up to 12 months before, or up to 12 months after
9- TAXABLE: Check this box if you can get a refund for the sales tax paid when buying goods or services.
10- INFLATION: This is your expenses annual inflation increase, in percentage (%). You will also have to select which month the inflation of your expense begins
11- HYPOTHESIS: This space is intended to write useful information about the product. This information will be available to all of whom you share your budget with. Note that when you export your budget, this information will not be available in the PDF and the Excel
12- GRAPH: This is a visual representation of the expense schedule you entered into Budgeto
14- PLANNING: If you want to manage your schedule manually. Note that if you change any values from steps (4), (5), or (6), the schedule will erase the amount you input manually.
Example of rental Expense
Situation: Company XYZ recently signed a lease in a popular downtown area. Here is some information:
- The lease is a 4 year office space lease (January 2021- December 2024).
- The rental expense for the office space is $2,000.00/month.
- There will be a 5% inflation rate each year after 2 years have passed (Beginning on January 2023).
- Payment term is 1 month after.
Here is how the situation will be entered into Budgeto
Example of a donation/charity gift
Situation: Company XYZ makes a donation to a local charity (Helping Hands) during a fundraising event. Here is some information:
- The donation was for $1,000.00
- The donation was made in August 2020
- It is a one time event (only made one donation)
- There are no payment terms
IMPORTANT A donation made is located in the "Social costs" category and the expense is labelled: "Donation & Sponsorship".