What is the Budget? Why is it important?
The word ‘budget’ can be looked at from two perspectives. As a noun, a budget defines what your spending limits are and spells out exactly what you can spend your money on. The phrase “I’m on a budget” is an oft-repeated, much dreaded state of being. As a verb, ‘budget’ or ‘to budget’ is the process of defining how you will manage your money and to what specific areas you plan to allocate your resources over the course of a definite period of time. The Union Budget But these definitions are for simple folk like you and me. In the context of the Indian government, the Union Budget is the master plan that guides all Central Government spending for a given financial year. Besides defining the expenditures and how they will be made, the Union Budget also defines the targeted amounts and sources of revenue that the government expects to generate between 1st April and 31st March of each year. When is it presented The Union Budget is typically presented before the Parliament by t...