Objectives or the goals of the organisation are the ends towards which every activity of the organisation is aimed at. Therefore, goals or objectives are the results that the organisation tries to achieve. Objectives are considered as a prerequisite for planning. The managers cannot make plans if they have not established the organisational goals first. They are set by the top management of the organisation and are measurable. Different departments and units may have their own objectives. There must be a time limit for the achievement of objectives.
Budgets are the monetary or the quantitative expression of the plans and policies that have to be followed by the organisation in future. In simple words, it is a statement of expected results expressed in numerical terms. Therefore the term budgeting is used in order to describe the activity of preparing budgets and other procedures related with planning, coordinating and controlling the business of the organisation, i.e., it is a project designed to define the anticipated costs and results in numerical terms of a single project. Thus, it comes under the single-use plan. Since, budgets are prepared in numerical terms, it becomes easier to compare them with the actual performance. Thus, it is considered as a control device, prepared during the planning process.