Question

In 200 words describe Home Budgeting vs Business Budgeting

Answer 1

Home budgeting is dedicated to personalize budget made for meeting expenses of households. On the other hand, business budgeting is making budget for carrying out company’s operational expenditures. The differences between both are listed below-

Home budgeting	Business budgeting
The objective of home budgeting runs around strong financial returns, better lifestyle and healthy living standard.	While, business budgeting is dedicated to focus on how to increase sales and making out strategies for better profitable margins.
Income sources are listed such as investments, spousal support and salaries.	Income sources of business are basically sales and return on investments.
The expenses like housing rent, auto charges, groceries, children fees are accounted for.	While, here expenses included are fixed cost such as shop rent, mortgage. Variable costs like raw materials and workers’ wages are accounted for.
Savings are allocated to per head with ease.	Savings are allocated to cost center as there are numerous items under one head.
Home budgeting preparation is easy because of limited resources at disposal.	It is much harder to produce business budget as several resources are present but usage of the same is important task.
Adjustments can be made easily in home budgeting.	Modifications and adjustments is a tedious task in business budget preparation.