Making and Maintaining a Budget

Another task of the treasurer is to create a budget. It really is not as hard as it sounds and it does not require a degree in accounting! Hopefully the material in this manual will help you get started. With such a large responsibility, treasurers should create and adhere to a budget in order to develop an awareness of fundraising needs. The most difficult aspect of the treasurer’s duty is keeping the club’s vision grounded within the limits of your budget without stifling the creativity of your membership. Usually, it is much easier, and at times more tempting, to completely reject an idea instead of tweaking it to make it work. Consider giving it some thought and problem-solve. Instill motivation in your members by taking their ideas seriously and enabling them to participate actively in club decisions. Before you know it, you will have cultivated your organization into a community. The following information should provide you some background information on making a budget, and of course, if you need help let me know.

Most activities your club will participate in will involve money. In order to allocate your money properly throughout the entire year, you will need a budget to help you plan. Budgets will help you spend money in the right places and not become overextended in your financial obligations. Budgets should not always dictate what you do in your club, however. Try not to let money stand in the way of a project your club is really interested in. Find a way to get money from other resources, or try to do the project cheaper. There is a very simple rule of thumb with handling a budget: the rate of expenses accumulated should be at most equal to the rate of revenue generated. Please make note of the difference between equating two rates, and two amounts of money. This means that if you begin your semester with a certain amount of money, let us say $1000, ideally, you should be left with at least $1000 by the end of the semester. Achieving this is by no means trivial, but instead requires a great deal of planning and effective money management.