Translating your project plan into numbers
Make your plans transparent by translating them into figures—a good budget brings your project to life.
In your plan, you have already made important choices: who will work with it, where and when the project will take place, and what it will take to carry it out. The next step is to link numbers to these choices by preparing a budget. A budget is basically a reasoned estimate of the costs you expect to incur and is an essential part of your project preparation. Especially for grant applications, a clear budget is often mandatory.
Most people use Excel or Google Sheets for this, where you can clearly divide the costs into items. For larger projects, it is wise to work with categories such as production, program, personnel, and communication. This not only provides clarity for yourself, but also for financiers or evaluators of your plan. Below are tips for structuring your budget effectively.
Request quotes
Not sure how much something will cost? Request quotes from suppliers or professionals. Whether it's lighting and sound equipment, a graphic designer, or venue rental, asking for specific information will give you a more realistic picture of the costs involved.
Take Fair Pay into account
When calculating personnel costs, make sure you take the Fair Practice Code into account, particularly Fair Pay. People should be fairly rewarded for their work. Use guidelines from organizations such as the Kunstenbond, NAPK, or the Code Goed Bestuur Cultuur (Code of Good Governance for Culture) to determine hourly rates. In many cases, subsidy providers will also explicitly ask for this information.
💡 Tip: If you work with freelancers, it is important to charge a rate that matches their experience and the sector. The DigiPACCT website offers a handy calculation tool that you can use to do this.
Budget generously and realistically
When drawing up a budget, it is wise to make a generous estimate. Unforeseen costs always arise: a printing error on your posters, extra travel expenses, or a change of plan. In the final accounts, you can always justify why you have not fully utilized certain items. It is more difficult to add extra costs retrospectively.
Always light up your posts
A good budget must not only be financially sound, but also understandable and transparent to others. Therefore, always provide an explanation for unclear or larger items. Explain how you arrived at certain amounts, or what you based them on. Think of quotes, comparable projects, or industry guidelines. This explanation is often even mandatory for subsidy applications. A clear justification also significantly increases your chances of being awarded the subsidy: it shows that you have a good grasp of your financial planning and that you work professionally.
Note VAT: budgeted inclusive or exclusive
When drawing up your budget, it is important to know whether your organization is subject to VAT. This determines whether you should include VAT in your budget or exclude it:
- Are you liable for VAT as a creator or foundation? If so, you can reclaim VAT from the tax authorities, which means you can budget excluding VAT. This means that you include the 'bare' amounts in your budget.
- Are you not liable for VAT ( for example, because your cultural activities are exempt from VAT)? Then you cannot reclaim the VAT you pay. In that case, you must include VAT in your budget, because it is a real expense for you.
Are you unsure about your status? Consult your accountant or a specialist, because your choice can make a big difference to your financial situation.
Examples of budgets
Our sample budgets are a good starting point. What your budget will look like depends, among other things, on the complexity of your project. View the sample budgets via the links below and adapt them to your own project.