1. TYPES OF
BUDGET

2. -Financial plan summarizing the financial experience of the past stating a current plan and projecting it over a specified period of time in future-Dimock
-Detail of estimated revenues and expenditures-a comparative chart of revenues and expenditures-and over and above this it is an authority and discretion of the competent authority given for the collection of revenues and expenditure of public money-Wilne

3. TYPES OF BUDGET
Budget can be classified on various basis:
-Period covered
--Number of budgets
---Overall financial position
----Principle adopted in taking the items of income and expenditure in the budget
-----Classification of the receipts and expenditure

4. ON THE BASIS OF PERIOD COVERED
ANNUAL-Generally Government budgets are annual,e.g. India- 1st April to 31st March, France-1st Jan to 31st Dec
LONG-TERM- These are in fact long-term planning, because what is provided for is financial planning over a period of years to finance the plan

5. ON THE BASIS OF NUMBER
SINGLE-Estimates of all Government undertakings find place in one budget
It reveals overall financial position of the Government
PLURAL-Separate department-wise budgets which are passed separately by the legislature. India-General and Railway budget(1921-Recommended by Acworth Committee)

6. ON THE BASIS OF OVERALL FINANCIAL POSITION
SURLUS BUDGET
Estimated Revenue > Estimated Expenditure
DEFICIT BUDGET
Estimated Expenditure > Estimated Revenue
BALANCED BUDGET
Estimated Expenditure = Estimated Revenue

7. Surplus Budget- Taxation is too heavy and expenditure is less-Not a people-friendly budget
Deficit Budget- Expenditure is too high as compared to taxation. Typical to developing nations as the Government has to spend too much on welfare activities. Economists opine it is a sign that country is making progress
Balanced Budget- A situation reached at after too much exercise and thought process

8. CASH BUDGET & REVENUE BUDGET
ON THE BASIS OF PRINCIPLE ADOPTED IN TAKING THE ITEMS OF INCOME AND EXPENDITURE IN THE BUDGET
CASH BUDGET & REVENUE BUDGET
CASH BUDGET-Estimates of various items of income and expenditure include the amounts actually to be received or spent in one year, e.g. India, Britain USA

9. REVENUE BUDGET- Revenue and expenditure accruing in one financial year are budgeted in that financial year irrespective of the fact whether the revenues are realized or the expenditure is incurred in that financial year, e.g. France

10. ON THE BASIS OF CLASSIFICATION OF THE RECEIPTS AND EXPENDITURE IN THE BUDGET
DEPARTMENTAL BUDGET- The revenues and expenditure of one department are grouped under it. It does not give any information as to the activity or performance for which money is budgeted

11. PERFORMANCE BUDGET
The total expenditure of a particular project is grouped under the head of the particular programme. Prepared in terms of functions, programmes, activities and projects. Correlation of physical and financial aspects of every programme and activity. Facilitates better appreciation and review of objectives of Government. Eliminates callous waste during closing months. Affixes responsibility very precisely.

12. ZERO-BASE BUDGETING
“Throw everything out and start all over again”. Evaluation of alternatives and programme performance may lead to a complete rethink and redirection of a programme. Proper prioritization. Involves critical review of every scheme before a budgetary provision is made. Improves programme effectiveness, makes administration more responsible and responsive.