- Banking
- Banks now offering payday loans
- Do you Need a Day Loan? The Bank Can Help
- What is Online Banking?
- Finance - Auto
- Experian Shares Latest Auto Loan Trends, Top Lenders
- Auto Title Loan
- Auto Insurance Resources
- Finance - Business
- What is a Bank Term Loan
- RiskChat: What is Risk Intelligence?
- Payday Loans: Quick Cash or Quicksand?
- Finance - Home
- 6 Things Retirement Calculators Get Wrong
- Bank Foreclosing? Try one of these options
- Auto Equity Loan
- Finance - Personal
- These Rates Would Shock a Loan Shark
- Check Cashing
- 5 ways to save money on insurance
- Financial Calculators
- What is a Mortgage Calculator?
- 3 Ways to Use a Mortgage Calculator
- Money 101 A Guide to Gaining Control
- Insurance
- Do You Need Life Insurance?
- Do You Need Disability Insurance?
- Take an Example From this Woman Without Health Insurance
- News and Press Releases
- Costly Cash: In Texas, Towns Try Zoning Out Payday Lenders
- After Profitable 2009, Reinsurers Face Pricing Pressure from Primary Insurers
- Treasurer McCord Says Payday Loan Alternative Helping People Save Money, Rebuild Personal Finances
- Pawnbroker - Pawnshop
- Pawnbroker History and How it works
- Payday Loans, Pawnbrokers Need More Than Regulation, OFT Says
- What's the Deal?
- Personal Credit
- 12 Steps Out of Debt
- Payday Loans challenge Online Installment Loans
- Extended Payment Plan
- Personal Insurance
- Take an Example From this Woman Without Health Insurance
- Do You Need Disability Insurance?
- Types of Personal Insurance
- Reference Library Finance and Loans
- Payday Loan definition
- Glossary for Payday Lending
- 5 ways to save money on insurance
Cash Budget
Published: 07/07/2010
What Does Cash Budget Mean?
An estimation of the cash inflows and outflows for a business or individual for a specific period of time. Cash budgets are often used to assess whether the entity has sufficient cash to fulfill regular operations and/or whether too much cash is being left in unproductive capacities.
Investopedia explains Cash Budget
A cash budget is extremely important, especially for small businesses, because it allows a company to determine how much credit it can extend to customers before it begins to have liquidity problems.
For individuals, creating a cash budget is a good method for determining where their cash is regularly being spent. This awareness can be beneficial because knowing the value of certain expenditures can yield opportunities for additional savings by cutting unnecessary costs.
For example, without setting a cash budget, spending a dollar a day on a cup of coffee seems fairly unimpressive. However, upon setting a cash budget to account for regular annual cash expenditures, this seemingly small daily expenditure comes out to an annual total of $365, which may be better spent on other things. If you frequently visit specialty coffee shops, your annual expenditure will be substantially more.