Running a high-quality after school program costs nearly $4,000 per student. And while we often share resources and strategies for financing your program, we also like to provide budgeting tips - like these cost-saving strategies - to ensure all students have access to quality programming after school, regardless of their socioeconomic status.
Running a high-quality after school program costs nearly $4,000 per student. And while we often share resources and strategies for financing your program, we also like to provide budgeting tips - like these cost-saving strategies - to ensure all students have access to quality programming after school, regardless of their socioeconomic status.
In this post, we’re discussing how to create and maintain your program budget. Follow these five simple steps to get started:
1. Start early
Don’t wait until the end of the year to develop your program budget. Instead, start as early as November 1. Bring in the executive director or financial manager early on to weigh in on budget decisions.
2. Create a budget spreadsheet
We suggest using an online spreadsheet, like Google Sheets, in order to share your budget and encourage collaboration with others. Divide your spreadsheet into three columns: the previous year’s budget, the current year-to-date expenses (with actual numbers), and a blank column for the next year’s budget. Then break down your program expenses by category.
Spending for after school programs generally falls within four categories:
- Space and utilities, including rent, maintenance, and repair costs for facilities
- Staff salaries and benefits, including health insurance, paid leave, and paid vacation
- Administrative, including fees for accounting, supplies, marketing outreach, etc.
- Miscellaneous, including snacks, materials, equipment, and staff training
If you need help calculating program costs, try The Wallace Foundation’s Out-of-School Time Cost Calculator.
3. Add in numbers line by line
Best practice is to organize income and expenses into line items, and use historical data to set the budget for the new year. For example, maybe you spent $500 on learning materials last year, and can reuse some materials for the year ahead. You can decrease your spending for this line item and add the additional funds to another one.
The key is to be as detailed as possible during this step. Add notes to explain dramatic increases or decreases in spending for specific categories. Once you’ve added the information, take a step back and see how all the lines fit together in the big picture. Will you have money left in the program budget at the end of the year? Are you lacking in any important categories, like rent or staff salaries?
The goal should be to budget for a surplus, and this step can help inform your financial strategy moving forward.
4. Share your budget
Make sure everyone on your team is aware of the budget. Present it to the board of directors, executive director, and any other stakeholders who have a vested interest in your program’s finances.
5. Monitor your budget regularly
Check in on your budget quarterly, or even monthly, to make sure your spending is on track. Ask yourself a few questions when reviewing your program expenses:
- Have you exceeded your budget in any categories?
- Should you make any adjustments?
- Are you on track to reaching your end-of-year financial goals?
Reviewing your budget monthly will help ensure that you have enough funds to cover all of your program costs throughout the end of the year.
For simple ways to save money in your program, check out these 5 cost-saving strategies.
