This example shows the estimated expenses and revenues of a nonprofit organization that runs community programs. The organization has planned to spend $102,500 on operations and projects (expenses) and expects to raise $135,500 through donations, fundraising events, and program fees (revenues). Running a nonprofit is hard work, and an essential part of that is budgeting. Since we’re in the business of helping nonprofits, and creating the tools they need to do more good, we wanted to help by creating a sample nonprofit budget template that is free to accounting services for nonprofit organizations download and use. Every year, a nonprofit organization conducts various movements to resolve or mitigate social issues. As you create your nonprofit budget, identify your organization’s goal for this time.
Capital budgets
- Depending on the type of grant you win, the award will cover only direct costs, or, if a general operating grant, it may cover much more.
- We’ll also discuss framework and tools to set-up, adjust, and analyze your own budget and financial planning, at any level of the organization.
- They have to allocate their cash from their big and small donors and program fees accordingly.
- In crafting a robust budget for your organization, utilizing budget templates can streamline the process, ensuring accuracy and ease of financial management.
- Needless to say, such a document is very important for this sector of organizations.
- Be sure that you will put the exact amount on each items so there will be no discrepancies.
- If you’re managing a multiple six- or seven-figure budget, asking a financial expert for help is always a good idea.
Track your nonprofit’s project-specific budget with this basic template. List income sources and figures in monthly columns to determine month-by-month total income. Enter project expenses in the same month-by-month columns to compare total expenses to total revenue. This template provides an accurate picture of your nonprofit’s budgeted operating costs and all-around fiscal health. Because donors generally require proof of how their money is being put to use, there exists a need for greater transparency regarding the financial standing of a nonprofit organization. This is where a nonprofit budget comes in handy, accurately recording expenses and revenue as they occur in detail.
- It shows donors and partners how many dollars are spent on the nonprofit’s mission versus executing the mission.
- As an example, an afterschool program may operate in two locations or be funded by three grants.
- However, many foundations recommend keeping these costs between 10% and 15% of your revenue.
- According to Statista, the United States has 1.56 million non-profit organizations as of 2015.
- Record them here and take the opportunity to compare them against what’s available on the market.
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Get started with a free nonprofit budget template
When everything is done, you can present the budget to the organization. Then, be ready for the feedback that the Board of Members will give to you. Adjust the nonprofit program budget according to the feedback that you have received, if there is a need for it. You must also ensure that the budget keeps up to the values of the organization. The organizational values matters a lot so even with the budget, you have to keep it up. Be sure that the workers will receive a right income and the expenses are aligned with the mission of the organization.
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The budgeting process begins by gathering input from the right people. Involve board members, department heads, program managers, and financial officers. Each stakeholder provides unique insights into the organization’s priorities and operational needs. For example, program managers can offer details about anticipated costs, while financial officers can provide an overview of past income trends. But if you’ve never created a budget or thoroughly reviewed your finances, it can feel overwhelming. To keep your nonprofit on track, we’ll walk you through each line item you might need to include in your nonprofit budget template and show you how to create one tailored to your needs.
For templates exclusively in Microsoft Excel formats, check out our collection of Excel Budget templates. Gain access to curated fundraising resources with our weekly newsletter. This tracks the average amount of money raised per dollar spent on fundraising and shows how efficient your fundraising efforts are. Capital grants are usually for large-scale items like construction, renovations, or equipment. Donors and stakeholders demand transparency in how their contributions are utilized. A lack of financial clarity can erode trust and deter future funding.