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Budgets, forecasts & scenarios · Working

Management reserve

Also called: reserve

ELI5

Centrally controlled reserve held for unplanned work or risk, separate from project contingency in some systems.

Used in conversation

“The number is useful only if everyone calculates management reserve the same way.”

Pitch context

You will see “Management reserve” in financial models, budgets, board packs and investor materials when the discussion reaches budgets, forecasts & scenarios.

Why it matters: In budgets, forecasts & scenarios, different calculation boundaries, periods or accounting treatments can change the number and the decision.

Caution

Calculation, recognition and disclosure can vary by accounting framework, company policy and reporting context.

When the words have to travel

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Sources & evidence · 5

Direct term-level sources and supporting source families.