Budgeting

Expenditure items

Make sure you have a clear understanding of the likely costs and income sources before you start organising an event in any detail. It is essential to develop a realistic budget and do everything you can to stick to it!

Remember:

  • Always start with the expenditure column and cost all the real expenses as well as costing the in-kind in the dollar terms that the services would have cost if you had to pay for them.
  • Calculate the income column to address the expenses incurred (including any in-kind contributions).
  • Reflect good practice with regard to remuneration for the arts practitioners involved and allow for any living allowances (sometimes called a per diem), travel and accommodation.
  • If you are not an incorporated organisation some funding bodies request that your grant be auspiced by an organisation that is incorporated. Your auspicing body will have a policy for this role and may charge a fee for their service. This will need to be included in your budget.
  • If you are employing people, refer to the Australian Taxation Office www.ato.gov.au for up-to-date taxation information. Business tax enquiries telephone 13 28 66.
  • Build in some contingency funding, say at 5% - 10% of total budget, as some costs can escalate over time or unforeseen things beyond your control can happen.

The expenditure items in your budget may include cost categories such as:

  • administration
  • organisers’ fees and/or expenses, artists fees and on-costs, volunteer hours
  • venue costs
  • production costs
  • catering
  • marketing
  • security
  • insurance
  • licence/permit fees
  • documentation both during (photographic, video, media exposure, audience
  • feedback) and after the event (reports)
  • evaluation

Pay scale advice

Pay scales and conditions can be prescribed by legally binding industrial awards and agreements. For advice contact arts industry organisations, such as:


Income options will be explored in Funding community events and festivals

Goods and services tax (GST)

You may also need to consider GST, a consumption tax which is charged on the supply of goods and services. GST is charged by the supplier of the goods or service and must be regularly remitted to the Australian Taxation Office (ATO). Non-profit bodies with an annual turnover above $100,000 are required to register for the GST and must forward the tax collected to the ATO with the irregular business activity statement (BAS). Importantly, all trading enterprises are required to register for an Australian business number (ABN). The ABN is an identifying number that must be used when dealing with other businesses.