Budget Variance Analysis Skill
Produce a structured budget variance analysis from actual vs budget figures.
From the mohitagw15856/pm-claude-skills README — shows the whole collection, not only this skill. · view on GitHub
How to use it
Claude Code
- Run the line below. It pulls the whole folder into
~/.claude/skills/budget-variance-analysis. - Describe your job in plain words. Claude Code follows the skill from there.
Claude Code — installs the whole folder, not just SKILL.md
npx degit mohitagw15856/pm-claude-skills/skills/budget-variance-analysis#main ~/.claude/skills/budget-variance-analysisFor one project only, change the path to .claude/skills/budget-variance-analysis.
Claude (web or desktop app)
- On this page open ⋯ → Download .md.
- Save it as SKILL.md in a folder, zip the folder, then Customize → Skills → + → Create skill → Upload a skill.
- Pick the file and Save. Claude shows the name and description and runs a security scan.
- Check the skill is switched on.
- Start a new chat and describe your job in plain words. The AI follows the skill from there.
ChatGPT or another app
- ChatGPT: make a Project and paste it into Instructions.
- Neither? Paste it at the top of a new chat — it works for that chat.
Not working?
- Check which app you pasted it into — the steps above name the right one.
- Some skills need the paid tier of Claude or ChatGPT.
Paste into Claude, ChatGPT or Cursor.
Source of Budget Variance Analysis Skill
Show the full text68 lines
| name | description |
|---|---|
| budget-variance-analysis | Produce a structured budget variance analysis from actual vs budget figures. Use when asked to analyse budget variances, explain underspend or overspend, write a variance commentary, or investigate why actuals differ from plan. Produces a categorised variance table with root cause analysis and management commentary. |
Budget Variance Analysis Skill
Produces a complete variance analysis from numbers through to root cause explanation and management commentary.
Required Inputs
- Actuals and budget figures (paste as table or describe line by line)
- Period (month / quarter / YTD)
- Materiality threshold (e.g. £10k or 5%)
- Known reasons for variances (if any)
- Audience (CFO / board / management / auditor)
Output Structure
1. Variance Summary Table
| Line Item | Budget | Actual | Variance £ | Variance % | F/A |
|---|---|---|---|---|---|
| Revenue | |||||
| Cost of Sales | |||||
| Gross Profit | |||||
| Opex | |||||
| EBITDA |
F = Favourable | A = Adverse
2. Material Variance Commentary
For each variance above threshold:
[Line item] — £[amount] F/A ([%])
- Root cause: [Specific explanation — not "timing" without detail]
- Permanent or timing? Will this reverse next period?
- Management action: What is being done
- Forecast impact: Does this change full-year outlook?
3. Top 3 Variances Requiring Attention
Ranked by materiality and strategic significance.
4. Forecast Revision
Does the full-year forecast need updating? State revised expectation and key assumptions.
5. Executive Summary
3-4 sentences of management commentary suitable for a board pack.
Quality Checks
- All variances above threshold explained
- Root causes specific (not vague)
- Favourable/Adverse correctly labelled
- Forecast impact stated for material variances
Anti-Patterns
- Do not explain a variance as "timing" without specifying which period it will reverse into and what amount is expected
- Do not label a favourable variance on a cost line without checking whether it is due to underspend, delayed spend, or reduced activity — the cause determines whether it is genuinely good news
- Do not omit variances below the materiality threshold entirely — note them collectively so the reader knows they exist and were reviewed
- Do not present a variance analysis without a forecast impact statement for material items — historical variances without forward implications are incomplete
Example Trigger Phrases
- "Write a variance analysis for these actuals vs budget: [paste]"
- "Explain why we are over budget on [cost line]"
- "Write the variance commentary for our finance review"
- "Produce a budget vs actual analysis for Q[N]"
| 1 | |
| 2 | name budget-variance-analysis |
| 3 | description "Produce a structured budget variance analysis from actual vs budget figures. Use when asked to analyse budget variances, explain underspend or overspend, write a variance commentary, or investigate why actuals differ from plan. Produces a categorised variance table with root cause analysis and management commentary." |
| 4 | |
| 5 | |
| 6 | # Budget Variance Analysis Skill |
| 7 | |
| 8 | Produces a complete variance analysis from numbers through to root cause explanation and management commentary. |
| 9 | |
| 10 | ## Required Inputs |
| 11 | **Actuals and budget figures** (paste as table or describe line by line) |
| 12 | **Period** (month / quarter / YTD) |
| 13 | **Materiality threshold** (e.g. £10k or 5%) |
| 14 | **Known reasons for variances** (if any) |
| 15 | **Audience** (CFO / board / management / auditor) |
| 16 | |
| 17 | ## Output Structure |
| 18 | |
| 19 | ### 1. Variance Summary Table |
| 20 | |
| 21 | | Line Item | Budget | Actual | Variance £ | Variance % | F/A | |
| 22 | |---|---|---|---|---|---| |
| 23 | | Revenue | | | | | | |
| 24 | | Cost of Sales | | | | | | |
| 25 | | Gross Profit | | | | | | |
| 26 | | Opex | | | | | | |
| 27 | | EBITDA | | | | | | |
| 28 | |
| 29 | F = Favourable | A = Adverse |
| 30 | |
| 31 | ### 2. Material Variance Commentary |
| 32 | |
| 33 | For each variance above threshold: |
| 34 | |
| 35 | **[Line item] — £[amount] F/A ([%])** |
| 36 | **Root cause:** [Specific explanation — not "timing" without detail] |
| 37 | **Permanent or timing?** Will this reverse next period? |
| 38 | **Management action:** What is being done |
| 39 | **Forecast impact:** Does this change full-year outlook? |
| 40 | |
| 41 | ### 3. Top 3 Variances Requiring Attention |
| 42 | Ranked by materiality and strategic significance. |
| 43 | |
| 44 | ### 4. Forecast Revision |
| 45 | Does the full-year forecast need updating? State revised expectation and key assumptions. |
| 46 | |
| 47 | ### 5. Executive Summary |
| 48 | 3-4 sentences of management commentary suitable for a board pack. |
| 49 | |
| 50 | ## Quality Checks |
| 51 | [ ] All variances above threshold explained |
| 52 | [ ] Root causes specific (not vague) |
| 53 | [ ] Favourable/Adverse correctly labelled |
| 54 | [ ] Forecast impact stated for material variances |
| 55 | |
| 56 | ## Anti-Patterns |
| 57 | |
| 58 | [ ] Do not explain a variance as "timing" without specifying which period it will reverse into and what amount is expected |
| 59 | [ ] Do not label a favourable variance on a cost line without checking whether it is due to underspend, delayed spend, or reduced activity — the cause determines whether it is genuinely good news |
| 60 | [ ] Do not omit variances below the materiality threshold entirely — note them collectively so the reader knows they exist and were reviewed |
| 61 | [ ] Do not present a variance analysis without a forecast impact statement for material items — historical variances without forward implications are incomplete |
| 62 | |
| 63 | ## Example Trigger Phrases |
| 64 | "Write a variance analysis for these actuals vs budget: [paste]" |
| 65 | "Explain why we are over budget on [cost line]" |
| 66 | "Write the variance commentary for our finance review" |
| 67 | "Produce a budget vs actual analysis for Q[N]" |
| 68 |
Discussion
Ad campaign analyzerAnalyze ad campaign performance data (Google, Meta, LinkedIn) to identify what's working, what's wasting budget, and specific cut/scale/test recommendations. Runs statistical analysis, funnel diagnostics, and multi-channel budget reallocation with specific dollar-amount shift recommendations and scenario modeling.Startup financial modelingBuild comprehensive 3-5 year financial models with revenue projections, cost structures, cash flow analysis, and scenario planning for early-stage startups. Use this skill when creating financial projections, calculating burn rate or runway, modeling fundraising scenarios, or preparing investor-ready financials for a seed or Series A raise./cs:cfo-review — CFO Forcing Questions/cs:cfo-review <plan> — Numerate-skeptic interrogation of any plan that touches money. Unit economics, runway, dilution, capital allocation. Use when a plan commits meaningful spend — e.g. a hiring wave, a fundraise decision, or a new channel budget.Cfo advisorFinancial leadership for startups and scaling companies. Financial modeling, unit economics, fundraising strategy, cash management, and board financial packages. Use when building financial models, analyzing unit economics, planning fundraising, managing cash runway, preparing board materials, or when user mentions CFO, burn rate, runway, fundraising, unit economics, LTV, CAC, term sheets, or financial strategy.
Browse more free Claude skills or everything in Finance.