Budgeting and variance analysis

What you'll learn

1. 1

   A budget is like a spending plan you make before the month starts. Variance is the difference between what you planned and what actually happened.

2. 2

   If your budget says £100 for clothes and you spend £120, what is the variance?

3. 3

   Set the budget to £200 and the actual spend to £180. What's the variance?

4. 4

   Let's calculate a budget variance together. 📝

5. 5

   A negative variance means you spent...

6. 6

   Now try it yourself. Budget: £500 for marketing. Actual spend: £550. What is the variance?

7. 7

   A variance of +£30 means you spent...