What is budget category in SAP PSM-FM - Funds Management?

SAP Term: budget category

• Component: PSM-FM

• Component Name: Funds Management

• Description: A classification for a budget. There are the following budget categories: Commitment budget Payment budget Financial budget

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• Key Concepts: 
  Budget Category is a component of Funds Management in SAP. It is used to define the budget for a particular cost center or project. It is used to control the budget and to monitor the actual costs incurred against the budgeted amount. The budget category can be used to define the budget for a particular cost center or project, and it can also be used to control the budget and to monitor the actual costs incurred against the budgeted amount. 
  
  How to use it: 
  In order to use Budget Category, you must first create a Budget Category in Funds Management. This can be done by navigating to Funds Management > Budgeting > Budget Categories. Once you have created a Budget Category, you can assign it to a cost center or project. This will allow you to control the budget and monitor the actual costs incurred against the budgeted amount. 
  
  Tips & Tricks: 
  It is important to ensure that you have created an accurate budget for each cost center or project before assigning a Budget Category. This will help ensure that you are able to accurately monitor and control your budget. Additionally, it is important to regularly review your Budget Categories and adjust them as needed in order to ensure that they are up-to-date and accurate. 
  
  Related Information: 
  For more information on Budget Categories in SAP, please refer to the SAP Help Portal: https://help.sap.com/viewer/product/SAP_ERP_Financials/6.0/en-US/f3f9a7d8b2e04c8a9f3d7c2b5f9e4d1a.html