A budget can be defined as a systematic and comprehensive financial plan that estimates income and expenditure for a specific period of time in order to achieve predetermined objectives. It is a managerial tool that translates plans, policies, and programmes into monetary terms and provides a framework for the allocation, utilization, and control of financial resources. In the context of management functions, a budget serves as an essential instrument for planning, organizing, directing, coordinating, and controlling activities. For non-governmental organizations, which operate with limited resources and high accountability to donors, beneficiaries, and society, budgeting plays a critical role in ensuring transparency, efficiency, and sustainability of operations. One of the main characteristics of a budget in NGO functioning is that it is goal-oriented. NGOs are established to achieve specific social, developmental, or humanitarian objectives rather than profit maximization. Therefore, their budgets are prepared with a clear linkage to organizational mission, vision, and programme goals. Each budgeted activity reflects planned interventions such as health services, education programmes, livelihood support, advocacy, or community development initiatives. This goal orientation ensures that financial resources are directed toward priority needs and intended social outcomes, making budgeting a vital planning tool for NGOs. Another important characteristic is that a budget is prepared for a definite period of time. In NGOs, budgets are usually prepared annually, though they may also be prepared