Creating a budget - SLSQ Administration Operations Manual

Gather data	Collect all relevant financial information, including historical financial statements, funding, expenses, payroll information, and any other financial records.
Identify Revenue Sources	List all sources of revenue. This could include fundraising, supporters club income, upcoming grants, or any other income streams.
Project Sales and Income	Based on historical data and trends, project your expected sales and income for the budget period. Consider factors such as seasonality, current financial conditions, and changes in the branch or club environment.
Estimate Fixed and Variable Costs:	Categorise expenses into Fixed costs (those that remain constant, like rent) Variable costs (those that fluctuate, like fundraising, grants etc).
Set Operational Expenses	Create a list of operational expenses, such as salaries, utilities, insurance etc) Use past data to estimate these costs.
Account for Capital Expenditures	Consider any major capital expenditures planned to make during the budget period, such as purchasing equipment or expanding facilities.
Budget for Non-Recurring Items	Account for one-time or irregular expenses, such as legal fees, IT upgrades, or training programs that may not occur every year.
Factor in Taxes:	Estimate your tax liability based on the regulatory bodies Charity tax concessions – ACNC Tax concessions for not-for-profits – Australian Taxation Office Tax Basics for Non-profit organisations
Create Budget Categories	Organise your projected revenue and expenses into specific budget categories, making it easier to track and manage finances.
Cash Flow	Determine your expected cash flow by subtracting total expenses from total revenue. This will give you an idea of if you Branch or club will generate a positive or negative cash flow during the budget period.
Review and Adjust	Review the budget for accuracy, feasibility, and alignment with your goals. Make necessary adjustments based on market conditions, performance, and strategic priorities.
Involve Key Stakeholders	Involve relevant Committee Members, managers in the budgeting process to gain insights and ensure they understand their responsibilities within the budget.
Budget approval	Budgets must be reviewed and approved by the Branch/ Clubs management committee to ensure transparency
Monitor and Track	Regularly monitor and track your actual financial performance against the budgeted figures. Identify any variances and take appropriate actions to stay on track. Branches and Committees must have budgets available for each Management Committee