Budget basics for a small-organization grant

A grant budget tells the funder exactly how every dollar will be used. It should match your narrative line by line.

Direct costs

Costs that exist because of the project: staff time for the project, supplies, space used by the program, transportation, training, a portion of equipment if allowed. Show how you calculated each (for example 520 hours × $22 per hour).

Indirect costs (overhead)

Shared costs that support the whole organization, like accounting, insurance and utilities. Funders handle them differently: some pay a percentage, some pay none. Federal rules allow certain organizations to use a standard "de minimis" indirect rate, and that rate has changed over time, so read the current rules and the listing before you assume a figure.

Match and in-kind support

If a match is required, list where it comes from (your own funds, other grants, donated space, volunteer time valued at a defensible rate) and be ready to document it.

Check your work

• Does every cost appear in the narrative, and every activity have a cost?
• Are any costs not allowed by this funder?
• Do totals add up? (Spreadsheet formulas help.)
• Is it realistic: could you actually do this for this amount?

Have someone with financial experience review your budget. This guide is general information, not accounting advice.