Budgeting
A realistic budget is a critical part of any project or funding application. This toolkit unpacks the structure of a budget, what it should include and how to acquit.
Budgets should be presented as a table and explain a project’s income and expenses. It demonstrates where income is expected to come from and how funds are anticipated to be used.
Divide your budget into two sections: income and expenses.
Income
List all the income streams you expect to receive for the project. This includes:
- Grants
- Earned income (e.g. ticket sales, entrance fees)
- Sponsorship
- Your own contribution
- In-kind support: services or assistance provided at no cost. Non-cash contributions to your project, such as materials or services that are provided free of charge or at a reduced rate. If you are applying for a specific program, it is common practice to not have ‘in kind’ contributions higher than the allocated artist fee.
Expenses
Be realistic about your expenses and acquire quotes to help cost estimations. Reflect on any expenses that may arise throughout the project, including:
- Artist fees for yourself and other participating artists – refer to NAVA rates as best practice
- Material costs
- Freight
- Gallery fee
- Travel
- Promotion
- Catalogue or marketing collateral
- Communications costs
Add notes if budget table requires further explanation but remember to be succinct.
Most importantly, when you submit your budget, the income and expenses should balance! Your total income must be the same amount as all total expenses.
Acquitting Your Budget
You will be required to provide an income and expenditure summary that demonstrates how the grant was spent. Retain receipts and invoices as you may be required to provide evidence to the funding body.
As it is expected that there may be variations from the original budget, ensure to include explanatory notes if the variations are large.
If the grant has not been spent in full, you may be required to pay it back to the funding body.
Looking for somewhere to start? View our budget template here.
More information about writing budgets can be found here.
Guildhouse Community and Accredited members are eligible for Advice Bank sessions. Discuss a range of topics with Guildhouse’s experienced art professionals, including; grant funding applications, professional documentation, marketing, communications, artist opportunities and more. Contact us for more information.