How-ToFinance & Operations

How to Set Up and Use Budgets in Business Central

Learn how to create G/L budgets in Business Central, enter amounts per account and period, use the budget matrix, import from Excel, and compare budget vs actuals in financial reports.

Stein Sæstad
7 min read

G/L budgets in Business Central let you define expected income and expenses per account and period. Once set up, you can compare budget figures against actual posted amounts directly in financial reports, giving you a clear view of where results differ from plan.

You can maintain multiple budgets at the same time, useful when you want separate versions for different scenarios or departments.

Step 1: Open G/L Budgets

  1. Search for G/L Budgets using Alt + Q.
  2. The list shows all existing budgets. Select New to create a new one.

Step 2: Create a New Budget

  1. On the G/L Budget card, enter a Name for the budget (for example, FY2026-MAIN).
  2. Enter a Description to make it easy to identify (for example, Main budget for fiscal year 2026).
  3. If you want to prevent further changes to the budget, set Blocked to enabled. Leave this off while you are still entering data.
  4. If your budget is broken down by dimensions, such as department or cost center, set the relevant dimension filters using the Budget Dimension 1, Budget Dimension 2, Budget Dimension 3, and Budget Dimension 4 fields.

Step 3: Enter Budget Amounts

Budget amounts are entered per G/L account and accounting period. You can enter them using the budget matrix view or directly on budget entry lines.

Using the Budget Matrix

  1. From the G/L Budget card, select Edit Budget from the actions menu.
  2. The matrix view opens, showing G/L accounts as rows and periods as columns.
  3. Click into any cell to enter the budgeted amount for that account and period.
  4. Use the Period Type filter at the top to switch between monthly, quarterly, and annual views.
  5. Apply a G/L Account Filter or Department Filter to narrow down the view if needed.

Entering Lines Directly

  1. From the G/L Budget card, select Budget Entries.
  2. On each line, set the G/L Account No., Date, Amount, and any relevant dimension values.
  3. Close the page when done.

Step 4: Use Dimension Filters on Budgets

If your chart of accounts uses dimensions for department, project, or cost center reporting, you can filter budget entries by those dimensions.

  1. In the budget matrix view, use the Department Filter, Cost Center Filter, or other dimension filter fields in the filter pane.
  2. Amounts entered while a dimension filter is active will be tagged with that dimension value.
  3. This allows you to maintain one budget name but enter separate amounts per department or cost center.
Budget NameDimension FilterUse Case
FY2026-MAINDepartment = SALESSales department budget
FY2026-MAINDepartment = ITIT department budget
FY2026-MAIN(none)Company-wide totals

Step 5: Import Budgets from Excel

If your budget is prepared in Excel, you can import it directly rather than entering amounts manually.

  1. From the G/L Budgets list, select the budget you want to import into.
  2. Choose Import from Excel from the actions menu.
  3. In the import dialog, select the Excel file and map the columns to the Business Central fields (G/L Account No., Date, Amount, Dimension Values).
  4. Select OK to import.

Before importing, make sure your Excel file uses the exact G/L account numbers from your chart of accounts and that dates match the accounting period structure in Business Central.

Step 6: Compare Budget vs Actuals

Once budget amounts are entered, you can compare them against posted actuals using financial reports or the G/L balance view.

Using the G/L Account Balance/Budget Page

  1. Search for Chart of Accounts using Alt + Q.
  2. Select a G/L account and choose Account > Balance/Budget from the menu.
  3. The page shows actual amounts, budgeted amounts, and the variance by period.

Using Financial Reports

  1. Search for Financial Reports using Alt + Q.
  2. Open a financial report set up with a column definition that includes a Budget column type.
  3. In the G/L Budget Filter field on the report options, select your budget name.
  4. Run the report to see actuals, budget, and variance in the same view.

To build custom financial reports with budget comparisons and dimension filters, see How to Use Financial Reports in Business Central.