2. BASIC GUIDELINES IN BUDGET
PREPARATION
• The aggregate amount appropriated SHALL
NOT exceed the estimates of income
• All statutory and contractual obligations
SHALL BE FULLY PROVIDED FOR, but
appropriations for debt servicing should not
exceed 20% of the regular income of the
barangay.
3. • Five percent (5%) of the of the estimated
revenue from regular sources shall be set
aside as an annual lump sum appropriations
for unforeseen expenditures.
• Twenty percent (20%) of its annual internal
revenue allotment (IRA) shall be
appropriated for development projects. The
development projects should be consistent
with the barangay development plan.
4. • Internal Revenue Allocation (IRA) share shall
be used for basic services delivery including
administrative and legislative services
• The total appropriations for personal services
should not exceed 55% of the total income
realized from regular sources during the next
preceding year.
5. • Free Resources maybe allocated to any of the
following (for Policy Decision) :
1. High Priority Development Projects in addition
to the 20% of IRA;
2. Additional MOOE for Basic Services;
3. Personnel Benefits (i.e. increase in honoraria for
Barangay Officials)
• 10% of the General Fund shall be allocated for
the Sangguniang Kabataan (SK)
6. COMPUTATION OF HONORARIUM
INCREASE
COMPUTATION OF HONORARIA INCREASE
STEP 1. Identify the amount available for increase for the period
EX.
75,000.00 FOR 1 YEAR (12 MOS)
STEP 2. Make a table with the following column
column 1 POSITION
column 2 NO. OF PERSON
column 3 PRESENT HONORARIUM RATE
column 4 MAXIMUM RATE ALLOWABLE
column 5 DIFFERENCE
column 6 % INCREASE
column 7 INCREASE/MONTH , PROPORTIONATELY AND UNIFORMLY APPLIED
column 8 INCREASED RATE
INCREASE/MO
NO. OF PRESENT MAXIMUM RATE % INCREASED
POSITION DIFFERENCE (PROPORTIONAT
PERSON RATE ALLOWABLE INCREASE RATE
ELY AND
UNIFORMLY
1 2 3 4 5 6 7 8
7. STEP 3. FILL IN THE INFORMATION REQUIRED IN COLUMN 1, COLUMN 2, COLUMN 3 COLUMN 4 & COLUMN 5
INCREASE/MO
NO. OF PRESENT MAXIMUM RATE % (PROPORTIONAT INCREASED
POSITION DIFFERENCE
PERSON RATE ALLOWABLE INCREASE ELY AND RATE
UNIFORMLY
APPLIED)
1 2 3 4 5 6 7 8
PUNONG BARANGAY 1 2,592.00 19,112.00 16,520.00
SANGGUNIANG MEMBER 8 15,264.00 117,128.00 101,864.00
BARANGAY SECRETARY 1 1,908.00 14,641.00 12,733.00
BARANGAY TREASURER 1 1,908.00 14,641.00 12,733.00
TOTAL AMOUNT NEEDED 143,855.00
8. STEP 4. COMPUTE FOR THE % INCREASE RATE (COLUMN 6)
Divide the amount available for increase for the number of months covered to get the amount available monthly.
EX.
75,000.00
= 6,250.00
12
STEP 5. DIVIDE THE AMOUNT AVAILABLE PER MONTH BY TOTAL OF COLUMN 5 TO GET THE % INCREASE (COLUMN 6)
6,250.00
= 4%
143,855.00
9. STEP 6. FILL IN COLUMN 6 WITH THE RESULTING % INCREASE (i.e. 4%)
INCREASE/MO
(PROPORTIONAT
NO. OF PRESENT MAXIMUM RATE % INCREASED
POSITION DIFFERENCE ELY AND
PERSON RATE ALLOWABLE INCREASE RATE
UNIFORMLY
APPLIED)
1 2 3 4 5 6 7 8
PUNONG BARANGAY 1 2,592.00 19,112.00 16,520.00 4%
SANGGUNIANG MEMBER 8 15,264.00 117,128.00 101,864.00 4%
BARANGAY SECRETARY 1 1,908.00 14,641.00 12,733.00 4%
BARANGAY TREASURER 1 1,908.00 14,641.00 12,733.00 4%
TOTAL AMOUNT NEEDED 143,855.00
10. STEP 7. MULTIPLY COLUMN 6 WITH COLUMN 4 AND COLUMN 2 TO GET THE AMOUNT OF INCREASE PER MONTH (COLUMN 7)
INCREASE/MO
(PROPORTIONAT
NO. OF PRESENT MAXIMUM RATE % INCREASED
POSITION DIFFERENCE ELY AND
PERSON RATE ALLOWABLE INCREASE RATE
UNIFORMLY
APPLIED)
1 2 3 4 5 6 7 8
PUNONG BARANGAY 1 2,592.00 19,112.00 16,520.00 4% 830.35
SANGGUNIANG MEMBER 8 15,264.00 117,128.00 101,864.00 4% 40,710.44
BARANGAY SECRETARY 1 1,908.00 14,641.00 12,733.00 4% 636.10
BARANGAY TREASURER 1 1,908.00 14,641.00 12,733.00 4% 636.10
TOTAL AMOUNT NEEDED 143,855.00
11. STEP 8. ADD COLUMN 3 AND COLUMN 7 TO GET THE INCREASED RATE (COLUMN 8)
INCREASE/MO
(PROPORTIONAT INCREASED
NO. OF PRESENT MAXIMUM RATE %
POSITION DIFFERENCE ELY AND RATE PER
PERSON RATE ALLOWABLE INCREASE
UNIFORMLY MONTH
APPLIED)
1 2 3 4 5 6 7 8
PUNONG BARANGAY 1 2,592.00 19,112.00 16,520.00 4% 830.35 3,422.00
SANGGUNIANG MEMBER 8 15,264.00 117,128.00 101,864.00 4% 5,088.80 20,353.00
BARANGAY SECRETARY 1 1,908.00 14,641.00 12,733.00 4% 636.10 2,544.00
BARANGAY TREASURER 1 1,908.00 14,641.00 12,733.00 4% 636.10 2,544.00
TOTAL AMOUNT NEEDED 143,855.00
POSITION MONTHLY ANNUAL
PUNONG BARANGAY 3,422.00 41,064.00
SANGGUNIANG MEMBER 20,353.00 244,236.00
BARANGAY SECRETARY 2,544.00 30,528.00
BARANGAY TREASURER 2,544.00 30,528.00
TOTAL ANNUAL REQUIREMENT 346,356.00
12. STEPS IN COMPUTING LEAVE CREDITS
VALUE (MONETIZATION OF LEAVE CREDITS)
STEP 1 MAKE A TABLE WITH THE FOLLOWING COLUMN
COLUMN 1 POSITION
COLUMN 2 MONTHLY RATE OF HONORARIUM
COLUMN 3 REQUIRED NO. OF SESSIONS/MONTHS WORKED
COLUMN 4 LEAVE CREDITS EQUIVALENT
COLUMN 5 NO. OF SESSIONS ATTENDED/NO. OF MONTHS WORKED
COLUMN 6 NO. OF BSENCES
COLUMN 7 LEAVE CREDITS EARNED
COLUMN 8 CONSTANT FACTOR
COLUMN 9 MONEY VALUE
REQUIRED NO. NO. OF SESSIONS
MONTHLY RATE OF LEAVE CREDITS ATTENDED/NO. NO. OF LEAVE CREDITS CONSTANT MONEY
POSITION
OF HONORARIUM SESSIONS/MONT EQUIVALENT OF MONTH ABSENCES EARNED FACTOR VALUE
HS WORKED WORKED
1 2 3 4 5 6 7 8 9
