Budgeting prototype

Dale Alspach alspach at math.okstate.edu
Sun Sep 7 19:05:49 CDT 2003


>I think what we're really saying here is that we're talking about
>budgeting the _delta_ within a budget period.  For example, if I
>budget $250 for food, what I'm really saying is that "the sum of all
>'food' accounts would increase by $250 over the budget period".
>Similarly, if I budget $1250 for my mortgage, what I'm really saying
>is that "the sum of my mortgage liability, tax-expense, and escrow
>accounts are going to change by $1250 over that period".

>So, I see no reason to really look at Income/Expense and
>Asset/Liability accounts any differently if you consider budgeting in
>the form of deltas (change over time).

>Is this an accurate summary?

>- -derek

Then why have double entry accounting?
You could just use deltas for the transactions in the accounting system too.

Dale Alspach


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