The Budget Checking feature makes sure that an Organisation does not overspend, i.e. does not spend more money than intended:
Budgets are prepared either in Xero or some other 3rd-party system, and then uploaded/synced to ApprovalMax where Bills and Purchase Orders get checked against the respective budgets.
Budget Checking will consider requests that have been approved before the budget got uploaded to ApprovalMax - if these requests relate to the budget ( i.e. via Date/Tracking Category).
When you're uploading/adding a budget in Xero, you can set filters for the Tracking Categories that will be applied to this particular budget.
Tracking Categories affect how Budget Checking is applied.
You can also have a look at our video below for a quick overview: