Budgeting Worksheet Instructions
This section presents instructions for completing the Budgeting Worksheet.
Step #1: Enter the date
Circle whether you are completing or updating the worksheet and fill in the date. You should update this worksheet once a year. You can either make minor adjustments to the worksheet, or start a new worksheet each year.
Step #2: List your revenues
Fill in your revenues in the lines provided. If your system has other sources of income not listed on the worksheet, enter them in the “Other” lines provided.
Step #3: Calculate total annual revenues
Calculate your total revenues by adding all the revenues you listed in the previous step. Enter this number in the box marked “Total Revenues.” Do not include funding you expect but have not secured.
Step #4: List your expenses
Fill in your expenses in the lines provided. If your system has other expenses not listed on the worksheet, enter them in the “Other” lines provided.
Step #5: Calculate total expenses
Calculate your total expenses by adding all the expenses you listed in the previous step. Enter this number in the box marked “Total Expenses.
Step #6: Calculate net income
Enter the result of step 3 on the “Total Revenues” line and the result of step 5 on the “Total Expenses” line. Calculate your net income by subtracting your expenses from your revenues. Enter this number on the “Net Income” line.
Step #7: Enter your total required reserves
Enter your total required reserves from the Required Reserves Worksheet.
Step #8: Enter your net income
Enter the result of step 6 on the “Net Income” line.
Step #9: Calculate additional reserves needed.
Subtract your total required reserves (from step 7) from your net income (from step 8). Enter this number in the box marked “Additional Reserves Needed.”
If the result is a positive number (i.e., your resources are larger than your required reserves), you will not have to plan for ways to make up for the shortfall and can set aside the required funds in a reserve account.
If the result is a negative number (i.e., your resources are less than the required reserves), you should start planning for ways to make up for the shortfall.