Incoming radiation: all solar energy that reaches the Earth's surface, not including the radiation reflected by the albedo of the Earth's surface
Outgoing radiation: thermal radiation that is re-emitted by Earth's surface and atmosphere that is not absorbed by the greenhouse gases of the atmosphere
incoming radiation > outgoing radiation = net budget surplus
incoming radiation < outgoing radiation = net radiation deficit
thermal energy is transferred from latitudes with a net radiation surplus to latitudes with a net radiation deficit.