hsm220 creating a budget

Associate Level Material
Appendix C

Creating a Budget

Various budget approaches play an important role in resource allocation in human service organizations. You are the executive director for a local government workforce agency that focuses on providing career- and work-related skills. The Department of Education has awarded your agency with grant funding of $1.6 million to provide training programs to high school dropouts. The funded programs are a basic work skills training program and a vocational program. You are preparing a budget matrix to present to the awarding agency. The matrix budget consists of line-item, functional, and program budgets.

Operating Expenses: Per Year
Rent $125,000

Utilities $100,000

Office supplies $25,000

Equipment/lease $50,000

Transportation and travel $100,000

Outside consultants $100,000

Overhead costs $100,000

Personnel expenses: Annual Salary Number of FTEs
Executive director $100,000 1

Training supervisor $80,000 1

Trainers $50,000 10

Administrative coordinator $45,000 1

Administrative staff $25,000 3

Employee-related benefit expenses @ 25% $200,000

All costs excluding the salary of the executive director and training supervisor will be allocated according to this formula:

60% to basic skills program
40% to vocational program

Number of eligible students: 1,000

Use the information above to create each of the following:

1 A line-item budget table showing all associated costs implementing the training programs.
2 A combined functional and program budget to calculate all costs per enrolled student.