A budget is a financial tool used for planning and managing expenses. It helps individuals, businesses, and organizations allocate their financial resources effectively by setting limits on spending and ensuring that income is sufficient to cover expenses. Budgeting involves estimating income, listing and categorizing expenses, and tracking actual spending against the planned budget. It allows for better financial control, enables goal setting, helps prioritize spending, and provides a roadmap for financial decision-making and planning for the future.
