budget

Estimate of income and expenditure for some future period, normally a year, used in financial planning. National budgets set out estimates of government income and expenditure and generally include projected changes in taxation and growth. The budgetary process varies considerably from country to country.

Interim budgets are not uncommon, in particular, when dramatic changes in economic conditions occur. Governments will sometimes construct a budget deficit or surplus as part of macroeconomic policy.

In the USA the president proposes a budget in February for the fiscal year starting the following October, but this has to be approved by Congress.