Monday, January 26, 2009

Budget Preparation Schedule

Now that the new year has started and you are about a month into your budget, it is time to start thinking about next years budget schedule. Here is a great suggested schedule from Jay Kiedrowski at the Humphrey Institute of Public Affairs and the Nonprofit Assistance Fund:

July/August Step 1: Planning the Process - Executive Director meets with financial staff and finance committee to plan budgeting process and set timelines.

September Step 2: Communicating about the Process - Staff meeting held to communicate process, responsibilities and deadlines to all participants.

Step 3: Programmatic Goal Setting - Board and committees review strategic goals and identify priorities; Staff meet within programs/departments to brainstorm and plan for programmatic goals for next year.

September/October Step 4: Information Gathering - Managers draft program or department budgets based on plans and assumptions.

November Step 5: Compilation and Revision - Coordinator compiles information to prepare an organizational budget draft. Managers review and revise initial draft.

Step 6: Committee Review - Finance committee meets to review budget draft and assumptions and make recommendations.

December Step 7: Final Approval - Board meeting held and budget proposal and programmatic and fundraising assumptions are presented for approval.

December/January Step 8: Implementation and Management - Staff meeting held to discuss budget, program goals and timelines for new year.