Budgeting for AfterSchool Programs

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Budgeting for After-School Programs

• Dennis T. Dolbee CPA
• Director, Club Financial Services

2
Objectives

• To review the costs of an after school program
  and prepare the program budget
• To review the effect of this program on the
  Clubs budget.

3
Type of Costs

• Start-Up Costs
• Direct Program Costs
• Indirect Program Costs

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Start-Up Costs

• Planning
• Initial Staff Training
• Staff Recruitment
• Equipment Supplies
• Facility Renovation/Expansion

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Direct Program Costs

• Salaries Wages
• Payroll Taxes
• Insurance
• Equipment Supplies
• Snacks

• Transportation
• Facility costs

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Salaries Wages

• Coordinator/Director
• Program Staff
• Substitutes
• Administration

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Salaries Wages

• Coordinator/Director
• Program Staff
• Substitutes
• Administration

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Salaries WagesProgram

• Staffing Requirement 1-20
• Prevailing Wage
• Program 3 Hours per Day
• 180 Days

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Formula

• Children/20 Staff Required
• Staff RequiredPrevailing Wage3 HoursWage
  cost per day
• Wage cost per day180 daysTotal Salaries Wages
  

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Payroll Taxes

• FICA
• Medicare
• FUTA
• State unemployment (SUTA)

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Formula

• FICA6.2
• Medicare1.45
• FUTA.8
• SUTA Obtain the current rate for your club
• Take the total of these percentages and multiply
  by the Salaries Wages

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Insurance

• Workers Compensation
• General Liability
• Obtain the rate from your current policies.

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Equipment Supplies

• Calculate the cost of the equipment and supplies
  needed to run the program.
• For a new program, up to 15 can be used for
  start up costs.

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Snacks

• The program requires that a snack be served.
  Determine if you will be required to provide the
  snack.

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Facility Costs

• Rent
• Utilities
• Maintenance

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Transportation

• Calculate per mile cost and include in budget.
• Costs to consider
• Fuel
• Insurance
• Maintenance
• Replacement cost of vehicle

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Indirect Costs

• Training
• Additional administrative cost for payroll and
  human resources
• Technical assistance
• Licensing accreditation

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Training

• Determine the amount of training required for
  each new employee.
• Calculate the number of hours of training
  required for each employee.
• Calculated the cost for each employee for wages,
  payroll taxes and insurance costs.

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Additional Administrative Costs

• Estimate the additional costs required for the
  increase in the number of employees for your
  payroll and human resources functions.

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Technical Assistance

• Determine if technical assistance will be done by
  internal employees or will it be outsourced.
• If internal employees, you must also calculate
  the cost of the salaries, payroll taxes and
  insurance for these employees.

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Licensing Accreditation

• If this program requires any new licensing or
  accreditation, calculate the cost of obtaining
  and maintaining the program.

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Other Items

• What additional items might you include?

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Contingency Costs

• You should consider adding 5-10 for any costs
  not considered in your budget.

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Budget Worksheet

• www.bayareapartnership.org
• Click on the link to preparation tools.
• Use the spreadsheet tool to prepare your budget.

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Program Revenue

• The big unknown.
• What you negotiate with the school or school
  district.

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Bottom Line

• Does your costs exceed the revenue?
• If so, how will you make up the difference?

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QUESTIONS