What is a Capital Expense Budget for Healthcare Providers?
In the realm of annual budgeting, a Capital Expense Budget, commonly referred to as a “Capex” budget, holds significant importance. It serves as an indispensable instrument for budget managers, procurement officers, and department heads, aiding them in strategic planning and forecasting future asset acquisitions. This budget template includes essential features such as dropdown menus for selecting asset categories, departments, and purchase timeframes. The projected lifespan of assets is typically based on assumptions and serves as the basis for calculating monthly depreciation expenses automatically. By inputting the purchase price and quantity, all other pertinent figures are computed seamlessly. The resultant total depreciation expenses and accumulated depreciation are seamlessly integrated into Profit and Loss (P&L) and Balance Sheet budgets. Typically, this template is employed for each healthcare facility, consolidating all departmental asset acquisitions into a cohesive framework. An illustrative example of such a budget template is provided below.
Purpose of Capex Forms
In the healthcare sector, Capex Forms play a pivotal role in securing funding for asset acquisitions while also capturing critical comments and details to streamline the approval process. When integrated into sound business practices within the Financial Planning & Analysis (FP&A) department, healthcare organizations can enhance their expense management and asset procurement strategies, thereby mitigating the risk of budget overruns resulting from unforeseen investments.
Capex Form Example
Here is an example of a Capital Expense budget input form with automated depreciation expense calculations.
You can find hundreds of additional examples here.
Who Uses This Type of Budget Template?
The typical users of this type of budget template are: CFOs, Budget Managers, Procurement and IT Managers.
Other Budget templates Often Used in Conjunction with Capex Forms
Progressive Financial Planning & Analysis (FP&A) Departments sometimes use several different Capex Forms, along with budget templates for revenues, KPI metrics, payroll, profit & loss, balance sheet and other management and control tools.
Where Does the Data for Analysis Originate From?
The Actual (historical transactions) data typically comes from enterprise resource planning (ERP) systems like: Sage Intacct, Microsoft Dynamics 365 (D365) Finance, Microsoft Dynamics 365 Business Central (D365 BC), Microsoft Dynamics AX, Microsoft Dynamics NAV, Microsoft Dynamics GP, Microsoft Dynamics SL, Sage 100, Sage 300, Sage 500, Sage X3, SAP Business One, SAP ByDesign, Acumatica, Netsuite and others.
In analyses where budgets or forecasts are used, the planning data most often originates from in-house Excel spreadsheet models or from professional corporate performance management (CPM/EPM) solutions.
What Tools are Typically used for Reporting, Planning and Dashboards?
Examples of business software used with the data and ERPs mentioned above are:
- Native ERP report writers and query tools
- Spreadsheets (for example Microsoft Excel)
- Corporate Performance Management (CPM) tools (for example Solver)
- Dashboards (for example Microsoft Power BI and Tableau)
Corporate Performance Management (CPM) Cloud Solutions and More Examples
- View 100’s of reporting, consolidations, planning, budgeting, forecasting and dashboard examples here
- Healthcare White Paper and other industry-specific information here
- See how reports are designed in a modern report writer using a cloud-connected Excel add-in writer
- Discover how the Solver CPM solution delivers financial and operational reporting
- Discover how the Solver CPM solution delivers planning, budgeting and forecasting
- Watch demo videos of reporting, planning and dashboards
Only Solver delivers a one-day rapid deployment, including free and instant access to $100K of value available on Day 1 in the Solver Marketplace. Solver is committed to helping you with all your advanced planning and reporting needs, so you can Accelerate Better Decisions – starting now. Take a free tour of Solver for any of these ERPs: