The dynamic facility layout problem is concerned with the design of multi-period layout plans. From a realistic perspective, one may have to consider the limited budget to cover the cost of changing the layout. In this research, a mixed integer linear programming (MILP) formulation is presented for the dynamic facility layout problem with unequal-area departments and budget constraints. To deal with the complexity of the problem, a genetic algorithm combining the laying approach addressed in the paper is applied to the construction of a good solution. Experimental results have illustrated the effectiveness of the proposed algorithm.