Defining a Budget Hierarchy

Defining a Budget Hierarchy

Choose Human resources ® Personnel management ® HR funds and position management ® Overall budget ® Create.

The Create Overall Budget screen appears.

Select the tab page with the budget structure element type that you want to create as the top budget structure element (root object) in your overall budget.

In the Abbreviation and Name fields, define a short text and long text for the budget structure element.

Specify the financial year for the budget structure element that you want to create.

Choose Overall budget ® Create.

The budget structure element is created, and the Change Overall Budget screen appears.

You want to create an overall budget for the Department of the Environment.

Abbreviation	DE	Budget structure element type	Personnel Expenditures
Name	Dept. of Environment	Financial year	1999

Select the budget structure element for which you want to define lower-level budget structure elements.

When you create budget structure elements, remember that you can break down budget structure elements with monetary budgets into budget structure elements with FTE budgets. However, you cannot assign a budget structure element with a monetary budget to a budget structure element with an FTE budget.

Choose Edit ® Create ® Create budget structure element.

The Create Budget Structure Element dialog box appears.

Select a budget structure element type. In the Object abbreviation and Name fields, define a short text and long text for the budget structure element that you want to create.

This step-by-step procedure does not deal with specifying budgets for the budget structure element that you intend to create. The assignment of budgets is dealt with in the process entitled Assignment of Budget.

Choose Create and close.

The budget structure element you have just created is now visible on screen.

To break down the budget object further, repeat steps 6 through 9 until you have defined your entire budget hierarchy.

You want to break down the Department of the Environment budget structure element into the budget structure elements Federal Office for Environmental Issues, Personnel Expenditures, Personnel Expenditures for Civil Servants and Salaried Employees.

To do this you create the following budget structure elements by working through steps 6 through 9 above:

Budget structure element type	Institution	Personnel expenditures	Civil servants	Salaried employees
Object abbreviation	DOE	PA	PAC	PAE
Name	Department of the Environment	Personnel expenditures	Personnel expenditures for civil servants	Personnel expenditures for salaried employees