A budgetary technique in which the projected level of spending is determined based on the needs according to the activities that must be carried out during the budgetary year, without considering the expense figures from the previous budget. It requires that each organization justifies all its funding needs, without assuming that those that do not exceed those of the previous year are justified, as is customary. This system facilitates the elimination of unnecessary expenses.
« Back to Glossary IndexZero-based budgeting
« Back to Glossary Index