Financial Discrepancy is an accounting term used to describe a situation in which the financial records of an organization do not agree. This could mean discrepancies between budgeted and actual spending, as well as differences between amounts reported on income and expense accounts. In short, financial discrepancies occur when there is a gap between what was expected and what actually happened. It is important for businesses to identify these discrepancies promptly and get them resolved so that their accounts remain accurate and up to date.