Dictionary of Business Terms: shortfall
shortfall
smaller amount than planned or budgeted, as in a revenue shortfall caused by low sales or reduced contributions received.
Dictionary of Finance and Investment Terms: shortfall
shortfall
amount by which a financial objective has not been met. For example, a municipality expecting $100 million in tax revenue will say there is a $10 million shortfall if it collects only $90 million. For individual investors, a shortfall is the amount by which investment objectives have not been reached. For instance, investors execting to earn 15% a year will have a 5% shortfall if they earn 10% a year.
