Cash flow & owner metrics

Free budget vs actual template

Budget vs actual worksheet

Review the exceptions and decide what needs to change.

Start the toolEstimated: 5 minutes
02

Live worksheet preview

Review only the exceptions.

The sample month is already complete. Edit any budget or actual cell, or map a P&L export, and the flags update immediately.

Owner summary

August: Marketing finished $3,200 over budget; Cost of sales finished $2,500 over budget. Review whether each gap is timing, volume, price, or a lasting change, then assign one next action.

Free resourceKeep the monthly system

Download the 12-month workbook.

Get the Excel workbook with formulas, paste mapping, variance log, prompt, agenda, and checks. The same file imports into Google Sheets. Your preview values are not uploaded.

  • Workbook with your current month
  • Variance explanations and formulas
  • Monthly review agenda
Preview the result or example included in this kit
August: August: Marketing finished $3,200 over budget; Cost of sales finished $2,500 over budget. Review whether each gap is timing, volume, price, or a lasting change, then assign one next action.

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August budget versus actual. Edit any budget or actual cell.
AccountBudgetActualVarianceVariance %Review
Revenuerevenue-$6,000-4.8%Within threshold
Cost of salesexpense$2,5005.8%unfavorable
Payrollexpense$7502.1%Within threshold
Marketingexpense$3,20040%unfavorable
Rent and occupancyexpense$00%Within threshold
Softwareexpense$90021.4%Within threshold
Other operating expenseexpense-$400-5.6%Within threshold

Ask these three questions

Move from the gap to the decision.

  1. Is this timing, volume, price, or a lasting change?
  2. Who owns the next action, and by what date?
  3. What would need to be true to change next month’s plan?
How this tool works

Budget and actuals in. The two variances worth discussing, a plain-English owner summary, and three review questions out.

  1. Edit the sample month or paste a P&L export.
  2. Review live variance flags and the owner summary.
  3. Get the 12-month workbook and review kit.

The useful distinction

A variance report finds differences. A monthly review explains decisions.

Variance dollars show the size of a miss. Variance percent shows its scale relative to plan. Use both thresholds so a tiny account does not distract the room and a large-dollar miss does not hide behind a small percentage.

Treat favorable and unfavorable by account type. More revenue than budget is favorable; more expense than budget is unfavorable. The worksheet ranks the exceptions, then gives the owner three questions that turn the report into a decision log.

Questions owners ask

Budget variance analysis FAQ

How do you calculate budget versus actual variance?

Variance dollars equal actual minus budget. Variance percent equals that difference divided by the absolute budget amount. This template labels direction by account type so higher revenue and lower expense are favorable.

What variance should be investigated?

Set both a dollar threshold and a percentage threshold that fit your business. Review a line when it clears both thresholds, then prioritize the largest unfavorable items rather than reading every row.

Can I use this workbook in Google Sheets?

Yes. The downloadable Excel workbook uses standard formulas and can be imported into Google Sheets. Upload it to Drive, open it with Google Sheets, and choose Save as Google Sheets if you want a native copy.

Does Nerd Out receive my financial data?

No. The editable preview runs in your browser, and the personalized workbook contains your current browser values. A separately labeled reusable template contains sample data.