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Budget Locking & Validation

In financial planning, maintaining the integrity and accuracy of budget data is critical. PrismERP's Budget Locking & Validation feature ensures that once a budget is finalized or submitted for approval, it cannot be altered without proper authorization. It also provides automated validation to check for errors or inconsistencies before budgets are approved or executed.

What is Budget Locking & Validation?​

Budget Locking refers to restricting modifications to a budget once it has reached a defined stage—such as submission or approval—thereby preserving the data for compliance and audit purposes. Validation involves automatic checks to ensure the budget is complete, accurate, and aligned with accounting rules and organizational policies.

Key Features​

  • Budget Locking Mechanism Prevents unauthorized changes after a specific workflow stage (e.g., post-submission or post-approval).

  • User-Based Lock Permissions Only users with designated roles (e.g., Finance Admin, CFO) can unlock or modify locked budgets.

  • Pre-Submission Validation Rules System checks for:

    • Missing account heads or cost centers
    • Inconsistent totals
    • Overlapping entries
    • Budget limits and thresholds

  • Validation Logs and Messages Clear feedback on validation status and necessary corrections.

  • Audit Trail for Changes Any changes made before locking are logged for full traceability.

  • Version Control Keep previous versions of a budget for reference and rollback if needed.

When to Use Budget Locking​

  • After final internal review and before approval submission
  • Post-approval, before budget execution
  • During budgeting freeze periods (e.g., year-end)
  • After validation is complete and the budget is ready for reporting

Integrated Modules​

  • Budget Management
  • Department/Cost Center Accounting
  • General Ledger
  • Financial Reporting
  • Project Accounting

Ideal Scenarios​

  • Large enterprises with formal budget cycles
  • Government agencies requiring locked records for compliance
  • NGOs and donor-funded projects requiring strict fund control
  • Multi-department organizations with distributed budgeting processes

Summary​

PrismERP’s Budget Locking & Validation provides strong governance over budget data by securing it at key stages and ensuring it meets accuracy standards before any financial action is taken. This ensures trust in the budgeting process and promotes financial discipline across the organization.