What do encumbered funds mean?
An encumbrance is a restriction placed on the use of funds. The concept is most commonly used in governmental accounting, where encumbrances are used to ensure that there will be sufficient cash available to pay for specific obligations.
What is the encumbered mean?
Definition of encumber transitive verb. 1 : weigh down, burden tourists encumbered by heavy luggage. 2 : to impede or hamper the function or activity of : hinder negotiations encumbered by a lack of trust. 3 : to burden with a legal claim (such as a mortgage) encumber an estate.
What does encumbrance mean in budget?
Encumbrances are also known as pre-expenditures since they act as budgeted reserve funds before the actual expenditure. While appropriations are money set aside for budgetary line items, encumbrances are reserves for a specific item. Some examples of encumbrances are utility payments, tax payments, and payroll.
What does Disencumber mean in accounting?
Disencumber means the release of funds previously set aside or encumbered for an Award Recipient.
What does unencumbered mean in a budget?
An unencumbered balance is that portion of an appropriation that has not yet been spent or tagged for use. Thus, it is the amount of money remaining that is available for use.
How do you use encumber?
Encumber in a Sentence 🔉
- The chaperon’s rules did not encumber the female members of the swim team from sneaking out of their hotel at night.
- If you do not want your baby to encumber you when you jog, you should push her in the stroller instead of carrying her.
Is it encumber or Incumber?
a less common variant of encumber.
What is encumbrance balance?
Overview. Encumbrances and open balances represent expenses that are anticipated to be charged to a budget or, in some cases, restricted funds. You may view a budget’s total amount of encumbrances in Grant Tracker. The breakdown by account code can be found in MyFinancial.
What’s another word for Disencumber?
Some common synonyms of disencumber are disembarrass, disentangle, extricate, and untangle. While all these words mean “to free from what binds or holds back,” disencumber implies a release from something that clogs or weighs down.
Is a profit an encumbrance?
Encumbrances can include property liens, deed restrictions, easements, profits à prendre (aka profits), and encroachments. Liens, easements, and profits are nonpossessory interests in real estate.
How do I remove encumbrances?
Encumbrances may be removed by replotting property lines, paying off a lien, or could be excused. The document to remove an encumbrance is called a reconveyance deed. The reconveyance deed conveys a clear title to the property owner.