Budget Preparation: Stop Making It Harder Than It Needs to Be

We've seen it countless times. Organisations spend hours crafting detailed budgets in their own spreadsheets, only to discover the funder wants something completely different. The result? Frustration, wasted time, and a whole lot of unnecessary rework.

Here's the thing: your internal budget template might be excellent for running your organisation, but that doesn't mean it'll fit what the funder actually wants to see.

Look at Their Template First

Before you dive into building a detailed budget, take a moment to examine what the funder is actually asking for. Most funders provide their own templates or online budget tools that need to be completed. These aren't suggestions, they're requirements.

By reviewing the funder's budget format first, you'll understand exactly what information needs to go where. Things fall into place much more easily when you're working with their structure from the start, rather than trying to shoehorn your existing budget into their format later.

Common Budget Quirks to Watch For

Every funder has their preferences, and these little details can trip you up if you're not paying attention:

• Salary presentation: Some funders want salaries and on-costs combined as a single line item. Others require them separated out. There's no universal standard, so check first.
• Timeframes: You might be used to working in financial years, but funders often request budgets across odd periods that don't align with your usual cycle. Three years starting mid-year? Eighteen months? It varies.
• Categories and line items: What you call "program delivery" might need to be split into "wages," "materials," and "venue hire" in their template.

Think Like the Funder

Your organisation has its own way of viewing expenses, and that makes perfect sense for your internal planning. But funders have their own priorities and reporting requirements. They want to see how their money will be spent using their framework, not yours.

Raphaël Dubois (yes, we made him up, but hear us out) once said, "The wise person adapts to the path that exists, rather than insisting the path adapt to them." It's surprisingly relevant here.

The Simple Solution

Start with the funder's budget template. Understand what they're asking for. Then work backwards to gather the information you need from your organisation's systems.

This approach saves time, reduces errors, and means you're not wrestling with reformatting everything at the last minute when you're already stressed about meeting the deadline.

Grant applications involve enough genuine complexity without adding unnecessary work to the mix. Do yourself a favour and make budget preparation one of the easier parts of the process.