Who is responsible for budgeting

After all, there's nothing irresponsible about buying things you can afford to pay for. Ultimately, financial responsibility means living within your means, regardless of the level of those means.

So take a close look at your financial situation, evaluate your earning and spending habits, and make the necessary adjustments to put yourself on responsible financial footing. Federal Housing Finance Agency. Accessed April 22, Wealth Management. Personal Finance. Building Credit. Home Equity. Your Privacy Rights. To change or withdraw your consent choices for Investopedia.

At any time, you can update your settings through the "EU Privacy" link at the bottom of any page. These choices will be signaled globally to our partners and will not affect browsing data.

We and our partners process data to: Actively scan device characteristics for identification. I Accept Show Purposes. Your Money. Your Practice. Popular Courses.

Investopedia Personal Finance. Table of Contents Expand. Credit Cards and Debt. Consider the Interest. Acting in Your Own Best Interest. Paying Yourself First—Saving. Emergency Fund. Don't Keep Up with the Joneses. A Very Personal Definition. Arriving at "Responsible". Article Sources. Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts.

We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy. Compare Accounts. The offers that appear in this table are from partnerships from which Investopedia receives compensation.

This compensation may impact how and where listings appear. Investopedia does not include all offers available in the marketplace.

Related Articles. Budget managers are responsible for requesting budget changes, submitting transfers, approving transactions and requesting payments. Budget managers should review their accounts on a regular basis to ensure proper recording of account expenses.

While a budget manager may delegate tasks and duties to a designee, the budget manager retains ultimate accountability for how a budget is managed. The authorization should be attached to all requests. An approval signature on a document means the budget manager has reviewed and is accountable for the expense.

The responsibility accounting budget is only one piece of the responsibility accounting performance report or RAPR where executives and upper level management track efficiency and profitability by department and person. The RAPR is also used to help explain changes in cost structure and profitability.

For instance, if the manufacturing department just invested in new robotic assembly line equipment, the RAPR should show a decrease in the variable costs per product produced.

Likewise, over labor hours and labor costs should be lower for this department as well.