Posted: Nov 28, 2009 under Money & Finance

Description: A Sustainable Budget is any budget with the maximum Sustainability Performance Index (SPI) and the Sustainable Capacity is by measure a relation between the budget's resulting SPI and its deficit. A budget with an SPI less that 100% always incurs a deficit equals to its Sustainable Balance (SB). The best and only way to know whether a budget, National or Private, is complete and sustainable is to analyse it. This calculator does exactly that. As you can see, x, y and z are sets of fundable items or projects in the equation, and are unique in that they systematically disambiguate and clearly divide the budget into three quantitatively significant parts. The variable n is the sum of all the fundable items in the three sets x, y and z. From the point of view of sustainability, budgets are deemed sustainable if they realistically meet the society's needs. Sustainability methodologies now exist to make incomplete budgets complete or unsustainable budget sustainable. These are genuine methodologies that disallow deficits in budget from piling up negative values over time and transporting them from one transaction pool to the next or from one accounting cycle to the next, to the point where they may inflict lasting damaging effects upon the society. NOTE: A slightly modified version of this calculator can be used to calculate the SPI of a company's employment system or policy. The content of sets x, y and z would naturally express a relation between (1) the number of employees whose present and future costs of living are fully met in their current pay packets, (2) the number of employees whose present and future costs of living are partially reflected in their current pay packets (some of who are potentially struggling with their current bills let alone their future ones) and (3) those employees that are completely left out, potentially caught up in slave unpaid labour. The Resulting SPI would quantitatively reconcile the pay disparity between overvalued and undervalued classes of employees. =========================== Presented by Philocrat Sustainability Research Instittute. Follow our Sustainability Projects here - download our project toolbar.