1. Budget call
The budget preparation starts when the Department of budget and
management (DBM) issues a budget call to all the government agencies.
prepared in such a way that estimated revenues exceed estimated
expenditures. If actual revenues exceeds actual expenditures, the government earns a
surplus. If expenditures exceeds revenues, the government incurs a deficit.
covers a period of one year and forms the basis for the annual
provides for items not adequately covered or not included in the general
Line item budget
focuses on specific expenditures such as salaries and wages, travel
expense, freight, supplies, materials and equipment