Creating a Budget
Various budget approaches play an important role in resource allocation in human service organizations. You are the executive director for a local government workforce agency that focuses on providing career- and work-related skills. The Department of Education has awarded your agency with grant funding of $1.6 million to provide training programs to high school dropouts. The funded programs are a basic work skills training program and a vocational program. You are preparing a budget matrix to present to the awarding agency. The matrix budget consists of line-item, functional, and program budgets.
Operating Expenses: Per Year
Rent
$125,000
Utilities
$100,000
Office supplies
$25,000
Equipment/lease
$50,000
Transportation and travel
$100,000
Outside consultants
$100,000
Overhead costs
$100,000
Personnel expenses: Annual Salary Number of FTEs
Executive director
$100,000
1
Training supervisor
$80,000
1
Trainers
$50,000 10
Administrative coordinator
$45,000 1
Administrative staff
$25,000 3
Employee-related benefit expenses @ 25%
$200,000
All costs excluding the salary of the executive director and training supervisor will be allocated according to this formula:
60% to basic skills program
40% to vocational program
Number of eligible students: 1,000
Use the information above to create each of the following:
1. A line-item budget table showing all associated costs implementing the training programs.
2. A combined functional and program budget to calculate all costs per enrolled student.
Whatever you're trying to copy and paste isn't working, no doubt because it's in a chart or numbered list format.
You'll need to type the rest of the information in by hand.
Then you'll need to be CRYSTAL CLEAR about how you want someone to help you. Keep in mind that we do not do students' assignments for them.
PS!
When planning any budget, start with personnel costs:
salaries
overtime
benefits
FICA and other taxes
All personnel items (including allowing room for increase in case of COLAs or other raises) must be taken care of first.
Then you can deal with the building and utilities.
Unfortunately, when planning budget for educational programs, actual classroom equipment and supplies generally come last (after personnel and buildings).
1000000
To create a line-item budget table showing all associated costs for implementing the training programs, you will need to list all the expenses and calculate the total cost for each category. Here's how you can do it:
1. Rent: $125,000
2. Utilities: $100,000
3. Office supplies: $25,000
4. Equipment/lease: $50,000
5. Transportation and travel: $100,000
6. Outside consultants: $100,000
7. Overhead costs: $100,000
Now let's calculate the personnel expenses:
- Executive director:
- Annual Salary: $100,000
- Number of FTEs: 1
- Training supervisor:
- Annual Salary: $80,000
- Number of FTEs: 1
- Trainers:
- Annual Salary: $50,000
- Number of FTEs: 10
- Administrative coordinator:
- Annual Salary: $45,000
- Number of FTEs: 1
- Administrative staff:
- Annual Salary: $25,000
- Number of FTEs: 3
Next, calculate the personnel-related benefit expenses at 25% of the total personnel expenses:
Total personnel expenses = ($100,000 + $80,000 + ($50,000 * 10) + $45,000 + ($25,000 * 3))
Employee-related benefit expenses = 0.25 * Total personnel expenses
Finally, allocate the remaining costs (excluding executive director and training supervisor salaries) to the basic skills program and vocational program based on the provided formula:
Basic skills program cost = Total costs * 0.6
Vocational program cost = Total costs * 0.4
To calculate the combined functional and program budget per enrolled student, you need to divide the total costs (including personnel expenses and allocated costs) by the number of eligible students (1,000):
Functional and program budget per enrolled student = Total costs / Number of eligible students
By following these steps, you can create both the line-item budget table and the combined functional and program budget per enrolled student.