Review budget variance

The variance report puts your budget next to the actuals posted to the ledger, account by account, and marks each one favorable, unfavorable, or on track — judged from the account’s nature, not the raw sign, so a revenue shortfall reads as unfavorable while spending under budget reads as favorable.

Intermediate2 steps~3 min

Before you start

An active budget and posted actuals.

Open the variance report.

From Budgeting, open the Variance report. Each account shows the budget, the actual, the variance, and a verdict — favorable, unfavorable, or on track.

Flag, group, and drill in.

Set a threshold to flag material gaps, switch the lens between month, quarter, and year, group by a dimension like cost centre, and drill a variance to the exact postings behind it.