Expenditure policy

Version number 1.2 | Version effective 10 June 2021
Expenditure policy




To ensure the consistent and prompt approval, identification, assessment, review and recording of expenditure across the department.

Policy statement

Expenditure is money or other resources that the department uses for goods and services. Goods and services are purchased for authorised and permitted purposes only and can be both of an operational and capital nature.

The department recognises, manages and reports expenditure in accordance with legislation, Australian Accounting Standards and Queensland Government policy.

Internal controls manage risk associated with expenditure, including minimising the likelihood of fraud and misappropriation.



What this means for the department


The department recognises and reports expenditure promptly and accurately and in accordance with Australian Accounting Standards.

The department effectively manages risks associated with expenditure through preventive and detective controls.

The department will apply the provisions of the Financial Accountability Handbook, in particular, Information Sheet 3.6 – Expense Management Systems (excluding HR), to identify, assess, record and manage expenses and payables.


Expenditure is approved by an authorised delegate to ensure funds are expended in accordance with departmental objectives and controls.


The department manages expenditure to maximise value for money.


The department proactively manages its current and future financial position.


  • Expenditure is only incurred for authorised and permitted purposes.
  • Expenses are reported, disclosed and recognised as per the Financial reporting requirements for Queensland Government agencies.
  • An obligation to incur expenditure must be identified and recorded promptly and accurately in the department’s accounting systems, in a manner which maintains an adequate audit trail and allows reporting objectives and accountability requirements to be satisfied.
  • The source and reason for expenditure must be identified to ensure the department is managing its operations efficiently, effectively and economically.
  • All expenditure incurred by the department must be approved in accordance with finance delegations, within budgetary constraints, statutory and/or contractual requirements, other requirements of State Cabinet, the Treasurer and the Public Service Commission as outlined in Other resources (below).




Capital expenditure

Expenditure incurred in acquiring, or building fixed assets such as land and buildings.


Costs incurred by the department in carrying out its functions through the consumption of goods or services.

Operational expenses

Expenses incurred in the ongoing business of the department. For example, salary and wages.

Australian Accounting Standards

Financial reporting standards applicable to entities in the private and public sectors in Australia.



Other resources


Supporting websites

Australian Accounting Standards, in particular:

  • AASB 101 Presentation of Financial Statements
  • AASB 123 Borrowing Costs
  • AASB 137 Provisions, Contingent Liabilities and Contingent Assets
  • AASB 1049 Whole of Government and General Government Sector Financial Reporting
  • AASB 1054 Australian Additional Disclosures
  • Framework for the Preparation and Presentation of Financial Statements

Superseded versions

Previous seven years shown. Minor version updates not included.

1.0 Expenditure

Review date

21 February 2023
Attribution CC BY

Policies and procedures in this group

Expenditure policy (current page)