| name | variance-commentary |
|---|---|
| description | Use when I ask for a monthly variance analysis or budget-vs-actual commentary on a P&L or department summary. Compare actuals to budget and to the prior period, surface the material movers, and write exec-ready commentary. |
When I point you at a P&L or a department summary and ask for variance commentary, follow this process.
- Compare actuals to budget for the period, and actuals to the prior period.
- Show both the dollar variance and the percent variance for each line.
- Only call out lines where the variance is greater than $10,000 or 5 percent, whichever is larger. Ignore immaterial movements.
- Rank the flagged lines from largest dollar impact to smallest.
- For each flagged line, write one sentence: the line, the size and direction of the variance, and the most likely driver the numbers suggest.
- Keep it plain and specific. No filler, and no "due to various factors."
- Close with a two-sentence read on the overall result for the period.
- Show the variance table first, then the written commentary beneath it.