Start thinking about your budget requirements early. Funding levels of grant programs change each year. If you are developing a budget in anticipation of a solicitation being announced and do not yet know the funding amount, review the same grant solicitation (if offered in past years) to project future funding levels. You also can use past solicitations to make lists of budget items needed for the project. Show
Important Resources
Although the degree of specificity of any budget will vary depending on the nature of the project and OJP agency requirements, a complete, well-thought-out budget serves to reinforce your credibility and increase the likelihood of your proposal being funded. Keep in mind the following—
Your budget should justify all expenses and be consistent with the program narrative:
While budget adjustments are sometimes made after the grant award, this can be a lengthy process. It’s best to be certain that implementation, continuation, and phase-down costs can be met with the budget you submit with the proposal. Consider costs associated with leases, evaluation systems, hard/soft match requirements, audits, development, implementing and maintaining information and accounting systems, and other long-term financial commitments. Use OJP’s Budget Detail Worksheet as a guide when preparing your budget and budget narrative. You may submit this worksheet or your own version, but it must address all of the categories in the sample budget detail worksheet. (See a sample budget summary and narrative.) Whatever format you submit, however, must include all of the information asked for on the budget detail worksheet in the solicitation for your grant application, in addition to the budget narrative:
Remember to include computations that clearly show how the costs were derived, as well as documentation that explains the cost or line item. Sustaining the Project SUPPLANTING IS PROHIBITED
Most grant programs require applicants to include information that explains how they will fund and sustain the project once the grant funds have been expended. Describe a plan for continuing your project beyond the grant period, and outline all other fundraising efforts you are considering and any plans to apply for additional grants in the future. Please note that it is prohibited to use grant funds or grant-funded positions for your fundraising efforts. Also, provide projections for operating and maintaining facilities and equipment. Discuss maintenance and future program funding if program funds are for construction activity. Account for other needed expenditures if the program includes purchasing equipment. When the sum of the initial projected costs exceeds the sponsor's budgeted amount of funds what should be done to arrive at an acceptable budget?Often, the sum of the initial estimated costs is greater than the amount of funds budgeted by the sponsor. What should be done to arrive at an acceptable budget amount? Cut the cost of the highest priced activity in half until the budget is reached.
What to do if project is under budget?Let the team doing the work set the budget. ... . Take a smaller approach. ... . Start with a realistic figure. ... . Use the right tools for time tracking and project management. ... . Develop a communication strategy. ... . Build in hidden costs from the start. ... . Define scope. ... . Include time for testing, training, and updating.. Why is it very important to have a budget plan before pursuing a certain project?Every project boils down to money. If you had a bigger budget, you could probably get more people to do your project more quickly and deliver more. That's why no project plan is complete until you come up with a budget.
Is money that is available for changing the scope of the project?Money can be made available at the manager's discretion to meet needs that would change the scope of the project. These funds are called management reserves.
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