What is an outlay budget?

An outlay in layperson’s terms is a payment. All payments by the federal government track back to congressionally created appropriations accounts. The federal government makes payments for a wide range of goods and services, e.g. contracts, financial assistance awards, and personnel compensation.

What are fund holders required to review commitment transactions for?

Fund holders, with assistance from supporting accounting offices, shall review commitment and obligation transactions for timeliness, accuracy, and completeness during each of the four month periods ending on January 31, May 31, and September 30 of each fiscal year.

What does the bona fide rule require?

§ 1502(a), commonly referred to as the bona fide needs rule, which provides that fixed period appropriations are only available for the legitimate needs arising during the period of availability for which they were made. The NCI contract at issue is a cost-reimbursement contract.

What is the purpose of the outlay?

An outlay is an expenditure we make to support an activity. It is the total cost of achieving an objective, acquiring something, or carrying out a decision. Put simply; it is the amount of money we spend on something.

What outlay means?

1 : the act of expending. 2 : expenditure, payment outlays for national defense.

What are obligated funds?

Obligating funds to an Activity means to commit funds to an Activity in accordance with programmatic requirements for a grant appropriation. Once obligated, funds are then available for drawdown, that is, disbursement of the funds.

What is financial obligations and commitments?

– Financial obligations are the commitment of funds for specific use. – Obligations should be defined in writing. • Expenditures (Payments) – Expenditures are the payment of funds.

What are obligation documents?

Obligation Documents means this Guaranty, the Note, the Credit Agreement, the Loan Documents, all other documents and instruments under, by reason of which, or pursuant to which any or all of the Obligations are evidenced, governed, secured, or otherwise dealt with, and all other documents, instruments, agreements.

What is the necessary expense rule?

The “Necessary Expense Doctrine” – Where a particular expenditure is not specifically provided for in the appropriation act, it is permissible if it is necessary and incident to the proper execution of the general purpose of the appropriation.

What are financial outlays?

Outlay is the amount of money that you have to spend in order to buy something or start a project.

Why are capital outlays important?

Here are the advantages of capital outlay: Allows companies to plan their growth strategically. Enables companies to increase and improve their production or building capacity. By acquiring better assets, companies can improve their profitability by reducing costs of production.

What is an example of an outlay?

An example of outlay is the amount of money spent on your daughter’s prom. An amount spent; an expenditure. To spend or disburse (money).

What are cash outlays?

cash outlay. noun [ U ] FINANCE. an amount of money that you spend on something, especially a large amount that is spent on new equipment or to start a new business activity: The beauty of this deal is that it gives us a strong position in the US market with no cash outlay.

What is budget obligation?

A term in Federal budgeting and financial management, obligation in layman’s terms means a binding agreement that will result in outlays, immediately or in the future. For example, an agency incurs an obligation when it enters into an agreement to purchase goods or services.

What is budget commitment?

Budget commitment is the stage corresponding usually to a budget authorization connected to entering a legal obligation (e.g., a contract) with a supplier/contractor or more generally a third party.