Monthly Distribution

Overview

Monthly Distribution – Business Overview

Monthly Distribution is used to plan how a total budget or target is spread across the months of a year when business activity is not uniform. Many organizations experience seasonality—some months perform better than others. This document helps reflect that reality by allocating higher or lower percentages to each month, instead of assuming equal performance throughout the year.

What Monthly Distribution Is Used For

Monthly Distribution allows businesses to: - Allocate annual budgets or targets across months based on expected performance - Reflect seasonal demand, sales cycles, or operational peaks - Create more realistic monthly financial plans and performance expectations - Support accurate monitoring of results against planned targets

Rather than dividing an annual budget equally, Monthly Distribution ensures plans match how the business actually operates.

Prerequisites and Setup Requirements

Before using Monthly Distribution, the business should: - Have a clearly defined annual budget or target (for revenue, expenses, or other key metrics) - Understand seasonal patterns in sales, costs, or operations - Agree internally on how performance varies across different months

This document is typically created as part of the budgeting or target-setting process.

Typical Workflow and Business Fit

Identify Seasonality
Finance or management reviews historical data and identifies months with higher or lower activity.
Define Monthly Percentages
Monthly Distribution is created to assign percentages or weightings to each month, ensuring the total equals 100%.
Apply to Budgets or Targets
The distribution is then used when setting budgets or targets, automatically spreading the annual figures according to the defined pattern.
Monitor Performance
Actual monthly results are compared against the distributed targets, giving management clearer insights into performance.

This workflow ensures monthly planning aligns with business reality rather than theoretical averages.

Key Business Scenarios Where It Is Essential

Seasonal Sales Businesses
Retailers, tourism-related businesses, or distributors with peak seasons rely on Monthly Distribution for accurate planning.
Cost Management
Organizations with predictable spikes in expenses (marketing campaigns, maintenance periods, bonuses) can plan cash flow more effectively.
Performance Management
Sales teams and department heads are evaluated against realistic monthly targets, improving fairness and motivation.
Forecasting and Decision-Making
Leadership can make better strategic decisions based on month-by-month expectations.

Important Considerations for Users

Ensure monthly percentages reflect realistic expectations, not optimistic assumptions
Review and update Monthly Distribution periodically as market conditions change
Keep consistency when comparing actual results to distributed targets
Involve both finance and operational teams to ensure accuracy

In summary, Monthly Distribution is a critical planning tool that helps Dafater users translate annual goals into realistic, seasonally adjusted monthly plans, enabling better budgeting, performance tracking, and business decision-making.

Helps you distribute the Budget/Target across months if you have seasonality in your business.

Basic Information

Module: Accounts
Document Type: Other

Fields

Field Name	Label	Type	Required	Options	Description
distribution_id	Distribution Name	Data	✓	-	Unique identifier for this monthly distribution in Dafater
fiscal_year	Fiscal Year	Link		Fiscal Year	Fiscal year to which this distribution applies in Dafater
customtotalpercentages	Total Percentages	Float		-	Sum of all monthly distribution percentages for validation
percentages	Monthly Distribution Percentages	Table		Monthly Distribution Percentage	Table defining percentage allocation for each month

Child Tables