SAMPLE BUDGET FORM

Number of Weeks of Operation

Number of children: 12 infants, 12 toddlers, 40 preschoolers
Tuition: Infants ~$230 per child per week 5 $143,520 per year
Toddlers ~$185, per child per week 5 $115,440
Preschool ~$125 per child per week 5 $260,000
INCOME

52
64
$518,960
AMOUNT

Fees From Tuition

As a general rule, calculate approximately 75% of total enrollment for the rst year.
Decide whether you will charge a at weekly rate per child or charge by the hour?
Decide whether you will charge more for a three-hour block (often for preschool
enrichment versus child care)
Will you charge parents for holidays, sick days, special sta training,
and development days and vacation?
Will you oer a second-child discount for siblings?
Will you have a sliding fee scale?
Registration Fees
Will you charge an enrollment fee per child? How often?
Will that fee be deducted from tuition charges?
Will that fee be per child or per family?
Transportation Fees
Will you charge for providing transportation for children to and from their home
or school to your center? If so, calculate the cost of gas, oil, tires, repairs, and
additional insurance into the fee determination for this service.

$519,200

At $50 per child per year

$3,200

At $50 per child per

week 3 12 children 5
12 3 52 3 $50 5 $31,200

USDA Food Program Reimbursement

If you choose to participate, your potential USDA income will vary
depending upon the income levels of the families you will serve.
Fund-raising and Contributions
Design a plan to solicit contributions, gifts/donations.
How much fund-raising is realistically possible?

$ 6,000

Grants
Total Yearly Income

$ 5,000
$564,600

EXPENSES

AMOUNT

Personnel Considerations:
Determine your sta/child ratio based on the ages of your children.
Determine salaries for each position based on the going rate in your area.
Decide whether you oer higher-than-average salaries to attract candidates with
higher qualications.
Will you oer paid breaks and lunch periods, paid set-up and closing times,
and paid planning time per week?
FIGURE 10-1

08989_10_Ch10_p259-279 PP3.indd 263

Sample budget form.

3/12/10 5:47:55 PM

 Will you need substitutes for sta illness and/or vacation?

Will you need to hire sta for meal preparation, building maintenance, transportation,
landscaping, and/or snow removal?
Include cost of hiring substitutes for 20 days per year.
Salary Detail
Directors Annual Salary FT
Head Teachers Annual Salary FT
Assistant Teachers Annual Salary FT
Aides Annual Salary FT
Secretarys Salary50% time, 20 hours per week
Substitutes$15/hour 3 8 hours/day for 20 days/year

$
$
$
$
$
$

35,000
28,000
24,000
15,000
15,000
2,400

PERSONNEL EXPENSES
1 Director
4 Head Teachers
4 Assistant Teachers
4 Teachers Aides
Personnel Sub-Total

$ 35,000
$ 112,000
$ 96,000
$ 60,000
$303,000

Fringe Benets
Calculate:
FICA
Unemployment compensation
Workers compensation
Determine whether you will oer such additional benets as:
Health insurance
Tax deferred annuities
Child care
Paid sick time
Paid holidays/vacations
Cafeteria plan
Approximate Cost of Fringe Benets
Personnel Total

Approximately 25% of
Total 5 $75,750
$ 378,750

OPERATING EXPENSES
ActivitiesBased on $25 per child per year
Advertising
Business cards
Advertising
Distribute yers and/or brochures
Audit
Books and Subscriptions
Contingency Fundrecommend no less than 3% of operating budget
Dues and memberships
EquipmentMajor (Equipment lasting longer than two years, $500 or more,
anything you can depreciate)
FIGURE 10-1

08989_10_Ch10_p259-279 PP3.indd 264

1,600

1,500

$ 1,200
$ 600
$ 14,000
$
250

Sample budget form (continued).

3/12/10 5:47:55 PM

Kitchenequipment for meal preparation (stove, refrigerator)

Housekeepingvacuum
Ocecomputer, desk, copier, le cabinet
Educational
Additional furniture for the children
Additional toys/manipulatives for:
o Large and small motor activities
o Dramatic play
o Language development
o Intellectual stimulation

EquipmentMinor
CD players
Microwave
Camera
Meal cart
FeesLicensing fee, ngerprinting costs, and so on

$ 6,000

$ 3,500

$ 1,500

FoodMeals and snacks

The current national average is approximately $1.52 per day. Formula for calculating the
cost of food is $1.52 3 the # of days 3 the # of children

$ 25,293

Garbagecalculate per month cost 3 the # of mos. of operation

Insurance
o Liability
o Building and premises
o Personal property
o Professional liability
o Auto
Interest
Legal/Accounting/Consultation
Maintenance/Repairs(plumbing, lawn care, snow removal, repair, maintenance of
heating/air condition, and so on)calculate per week cost 3 the # of mos. of operation
PostageMail brochures or packets to prospective parents, newsletters
Printing
Rent/Mortgage
Repairscalculate per month cost 3 the # of mos. of operation
Oce Expenses and suppliescalculate per week cost 3 the # of mos.
SuppliesHousekeeping, kitchen, and classroom consumable supplies
Telephone
Travel and transportation
Sta TravelPay sta travel for conference attendance, and so on
Auto ExpensesLease/purchase a van and related auto costs
UtilitiesWater, electricity, heat, air conditioningProject 5% increase per year
TOTAL EXPENSES
FIGURE 10-1

08989_10_Ch10_p259-279 PP3.indd 265

600

$ 5,000

$ 1,000
$ 1,500
$ 3,200
$ 600
$ 800
$ 15,000
$ 500
$ 600
$ 4,000
$ 720
$ 10,500
$ 3,600
$ 491,113

Sample budget form (continued).

3/12/10 5:47:55 PM