Principals must devote a vast amount of time and energy to campus funding and budgetary issues because budgeting and accounting procedures are an integral part of an effective instructional program. In fact, a principal's role in the budgetary process significantly impacts both budget development and instructional planning. Principals who fail to develop an effective budget commit a terrible disservice to their schools and, more important, to their students. This article presents seven important budgetary considerations that principals should follow for the practice of school budgeting to be effective and efficient: (1) Identify budgetary allocations and restricted funds; (2) Project incoming and exiting student populations; (3) Conduct a needs assessment; (4) Seek input from all parties; (5) Project and prioritize expenditures; (6) Build the budget; and (7) Amend and adjust the school budget.