rolling budget

A rolling budget adds a future accounting period's budget to replace a budget for an accounting period that has past. For example, a company's 2011 annual budget will become a rolling budget if in February 2011 it adds the budget for January 2012 to replace the January 2011 budget. At that point the rolling budget will cover February 1, 2011 through January 31, 2012. After February 2011 occurs, the rolling budget will consist of the 12 monthly budgets of March 1, 2011 through February 29, 2012.

The rolling budget is also referred to as a rolling horizon budget, a continuous budget, or a perpetual budget.