BUDGET NARRATIVE/BUDGET
JUSTIFICATION
spend approximately 20 percent of her effort managing
this project.
Sometimes funders (especially large institutional
foundations, aid agencies, and governments) require a
budget narrative (also known as a budget justification)
along with the budget so that you can explain the costs
involved in your project. Foundations requiring budget
narratives usually include instructions in their guidelines.
The Grassroots Organizer will reach out to women’s
groups in the community to participate in community
meetings, including arranging transportation to the
meeting site. She will also help organize the policymaker
forum in the capital with the assistance of the consultant
for event organizing. She will devote approximately 22
percent of her effort to this project.
For detailed narratives, there are sections for each
category of spending:
TRAVEL
The Women’s Self-Help Association will arrange for
minivans and buses to transport women from around the
community to the two community meetings in order to
ensure that a broad cross-section of women can participate.
the roles of the personnel involved in the
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project, what they do, and define the percentage
of their overall time and effort to be spent on the
project. Percentage of effort means that amount of
time a person spends on a specific project compared
to their total time at work. Sometimes there is
an additional section to explain how their fringe
benefits (additional compensation provided besides
salary such as insurance, pension contributions,
vacation, and educational benefits) are calculated.
The Project Director and Grassroots Organizer will travel
to the capital for the policymakers’ forum. This expense
covers their ground transportation, two nights’ lodging,
and meals/per diem expenses.
EVENTS
Two community meetings will be held at the Association’s
headquarters during the course of the project, at the
end of the second and fourth quarters of the year. The
first meeting will bring representatives of local women’s
groups together to discuss policy issues and make
recommendations for policymakers. The Association
will present the outcomes of the policymaker forum at
the second community meeting. Expenses associated
with the meetings include refreshments, copies of
the meeting agenda and background documents, and
display materials.
any consultants are involved in the project,
If
explain what work they will do, how much time it
will take (hours or days of work), and how much
they will be compensated
Explain any travel related to the project: what kind
of expenses and why they will be incurred
Equipment that must be purchased
Supplies and other direct costs (communications,
postage, events, publications, etc.) for the project
any sub-grants or sub-contracts made to other
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organizations as part of this project and explain the
purpose of the sub-grants or sub-contracts
The policymaker forum will be a one-day event in the
capital during the third quarter of the grant period. We
will invite key Members of Parliament and officials from
the Ministry, along with a number of representatives
of the women’s community selected at the community
meetings. The one-day rental of a room for the forum
includes food and beverage costs.
Indirect costs: state the percentage rate requested
and how it was calculated (which costs apply, how
rate was set)
For simpler budgets, you can place numbered footnotes
below the budget chart explaining particular costs.
CONSULTANTS
The policy specialist will conduct specialized research on
the issue and help the Project Director draft publications,
including a one-page summary (a “fact sheet”) and a
short report with policy recommendations (a “policy
brief ”) that will be presented at the policymaker forum.
SAMPLE BUDGET NARRATIVE:
WOMEN’S SELF-HELP ASSOCIATION
ADVOCACY PROJECT
PERSONNEL
We will contract an event organizer in the capital to
manage all the logistics for the policymaker forum, as
well as the invitations and responses (RSVPs).
The Advocacy Project Director will oversee all
aspects of this project, including supervision of the
Grassroots Organizer and the consultants. She will
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