What is budget?

In this post, you will learn about what is budget in TikTok ads and how it works. Let’s get started now!

What is budget?

Budget is the amount of money you are willing to spend for running TikTok ads. It’s also used to control overall costs for campaign and ad groups. 

The cost of your campaign or ad group will never exceed the budget you set.

In TikTok Ads, you can set budget for both campaigns and ad groups (A campaign can consist of one or multiple ad groups). And there are 2 types of budgets including:

• Lifetime budget 
• Daily budget 

*Note: Once you publish your campaign, you cannot change the budget type at the campaign or ad group level. As such, you will be unable to switch from a daily budget to a lifetime budget and vice versa.

Campaign budget 

Campaign budget is the specific amount that you are wiling to spend for running a campaign. Based on the amount you set, your campaign will stop running when it hits the budget. 

There are 3 available budget options you can set at campaign level:

• No Limit: No restrictions on how much the campaign can spend. (If you does not enable Campaign Budget in NestAds, No limit will be set in default) 
• Lifetime Budget: The maximum amount you can spend on this campaign during the entire period.
• Daily Budget:  The maximum amount you can spend on this campaign per day. 

*Note: At campaign level, both daily budgets and total budgets must exceed 50 USD. 

Ad Group budget 

Ad Group budget is the specific amount that you are wiling to spend for running an ad group. Based on the amount you set, your ad group will stop running when it hits the budget. 

There are 2 available budget options you can set at ad group level:

• Lifetime Budget: The maximum amount you can spend on this ad group during the entire period.
• Daily Budget:  The maximum amount you can spend on this ad group per day. 

*Note: 

• At ad group level, both daily budgets and life time budgets must exceed 20 USD. 

• If you set “Daily Budget” at campaign level, you must set “Daily budget” at ad group level as well. 

• If you select “Lifetime Budget” at campaign level, you can select either “Daily Budget” or “Lifetime Budget” at the ad group level.

If you are not sure how much you should set in ad group budget, try our Optimize Daily Budget feature. It will recommend you an reasonable budget to ensure good ad delivery. 

>>> Read more: TikTok Ad Budget best practices

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