A budget framework is a set of principles, rules, and procedures that guide the preparation, execution, and evaluation of a budget. A budget framework can help an organization or an individual to achieve their goals, manage their resources, and monitor their performance. A budget framework can also provide transparency, accountability, and credibility to the budget process.
The system budget framework is structured with 3 different levels:
- Pool scheme: A pool scheme reflects the main objectives of the budget. This top level represents the total amount available, which can be allocated to lower levels.
- Pool: A pool can reflect a strategic budget plan, representing a different procedure for grant giving and processing. The pool budget amount can be allocated to lower levels, which are pool rounds.
- Pool round: A pool round typically refers to a specific phase or period during which grant applications are collected, reviewed, and evaluated for funding.
Below is an example of a budget structure:
Pool scheme: Education 2024 - $1,000,000Pool: Master degree - $300,000Pool round: Q1 - $150,000Pool round: Q3 - $150,000
Pool: PhD degree - $500,000Pool round: Q2 - $250,000Pool round: Q4 - $250.000
Pool scheme: Social employment 2024 - $2.000.000Pool: Public sector - $1,000,000Pool round: Round 1 - $550,000Pool round: Round 2 - $450,000
Pool: Private sector - $1,000,000Pool round: Round 1 - $700,000Pool round: Round 2 - $300,000