D5000 PETS Budget Training 2013-2014 Don't tell me what you value, - PowerPoint PPT Presentation

D5000 PETS Budget Training 2013-2014 “Don't tell me what you value, show me your budget, and I'll tell you what you value.” ~ Joe Biden

The “B” Word S The Budget is one of the single most important management tools you have as Club President S Consensus building among the members of the board, and joint construction of the final budget is critical to its success S Sticking to the budget is critical to YOUR success S Accountability and reporting to the entire membership on a regular basis is an easy way to “alleviate the mystery”

The “F” Word S Fundraising should be driven by the final budget of the club, and not be the past practices of the organization S After the desires of the club are established, and the budget is developed, the fundraising needs of the club should be addressed in total S Leaving the club better that you found it should be the top priority of every President

Analyze S Survey Members – What do they want? S Are the budget priorities in line with the club needs? S What makes your club members feel “connected”? S Ask Questions S Are the “same old projects” the best projects? S What are you focused on locally? S What are you focused on internationally? S Are the projects sustainable? S Review Historical Averages for Avenue of Service S IE: Community Service: 20%, International Service 20%

Strategic Planning S Set a timeline – NOW S Visioning Meeting – 3 Year Plan – Goals & Benchmarks S Membership Growth S Foundation Growth S Projects – Local and International S Operational Planning – What does it really take to run the club? S Sample Timeline: S April 1, Strategic Planning/Retreat S May 1, Preliminary Budget S May 15, Final Planning S June 1, Final Budget

Zero Based Budgeting S Act like this budget it’s the first budget – throw all of the old thinking OUT THE WINDOW! S Gather the “requests” of the committee chairs S Compile the requests and publish the “roll-ups” or versions to the board of directors – this will assist them in understanding the necessary changes (reductions) that need to be made S Run fundraising scenarios based on the preliminary budget roll- ups S Don’t forget: This is YOUR budget – and YOUR year

Expense Example: Balance Forward: $10,000 Meals Expense: $72,000 53.53% Operational Need: $35,000 26.02% Club Service Request: $1,000 0.74% International Service Request: $15,000 11.15% Community Service Request: $5,000 3.72% Vocational Service Request: $1,000 0.74% New Generations Request: $2,500 1.86% Membership Request: $2,000 1.49% Public Relations Request: $1,000 0.74% TOTAL Preliminary Expense: $134,500 100% Less Balance Forward: $124,500

(Net) Income Example: Preliminary Expense Needs: $124,500 Dues & Income (local): $30,000 Meals Compensation: $72,000 Fundraiser Net: $25,000 Happy Dollars & Misc: $5,000 Gifts & Other: $5,000 TOTAL Preliminary Income: $137,000 NET Balance Year End: $12,500 Last year Balance Forward: $10,000 Variance: $2,500

Monthly Dashboard Report: Summary Page:

Monthly Dashboard Report: Committee Page:

Monthly Dashboard Report: Committee Page:

Conclusion: S Make sure that the final budget is in line with the needs and desires of the club members – it’s their money! S Make sure that each of the committee chairs are accountable to their area of the budget S Report regularly to the membership on the financial health of the organization

It's clearly a budget. It's got a lot of numbers in it. ~ George W. Bush