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With Expenses Expected to Rise in 2021, Will Demand Match?

By Dan Packel
December 01, 2020

Budget season is in full swing at firms whose fiscal year matches the calendar year, and leaders are exercising a newfound scrutiny over every component of next year's spending as they prepare for an uncertain 2021.

After cutting expenses in the early months of the pandemic, firms were rewarded by better than anticipated demand, and many are anticipating quite healthy numbers in 2020. But even with optimism rising over Pfizer's promising COVID-19 vaccine, that careful approach to expenditures is bound to continue.

"The scrutiny by line item for next year is much harder and much more diligent than in last year's budget," says Altman Weil consultant Tom Clay.

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