Foundation Budgets
This term describes a grant that will be awarded only after the nonprofit raises an equal amount from donors
Matching grant or Challenge Grant
These are two examples of match/cost share sources.
Cash or In-kind
True or false: grant budgets and the projects they support should always connect back to organizational priorities.
True.
These are three common budget categories.
Salaries/Personnel, fringe benefits, supplies, equipment, travel, occupancy, postage other, indirect costs, total direct costs, modified total direct costs.
This acronym refers to an organization’s Indirect Cost Rate.
IDCR (percentage organization uses) or NICRA (official document with approved federal rate)
This type of grant award is the ultimate prize for nonprofits because it can be used where an organization needs it most.
General operating grant
This is one example of an in-kind expense.
staff time, donated space, volunteer hours
This is what funders require if you want to shift money between budget lines after a grant has already started.
Budget modification or amendment
What is the difference between supplies and equipment?
Typically, equipment is anything with a purchase price of $5,000 or more, while supplies is anything under $5,000. (Per federal Uniform Guidance, though an organization's internal policy can set a lower threshold).
These percentages represent a typical range for an Indirect Cost.
5%, 10%, 15%, occasionally 20%
This is the formula for showing how each staff member’s total requested salary is calculated
Base Salary × % of Effort = Requested Salary
What’s the difference between an in-kind and cash match?
In-kind is donated resources, while cash is funding used to support the project
This document typically explains the reasoning behind each cost category.
Budget narrative or justification
These types of costs represent the overhead and administrative expenses of running the organization.
Indirect Cost
This term refers to the official start and end dates during which grant funds may be spent.
Award or performance period
Typical financial reports foundations request
Balance Sheet, Profit and Loss statement, Operating Budget, Current YTD financials
Is another grant an in-kind or cash match?
Cash match
These are unexpected costs that are planned for by setting aside a small percentage of the budget?
Contingency costs
This term refers to total direct costs minus any capital equipment
Modified Total Direct Cost (MTDC)
This type of extension allows a grantee to extend the award period without receiving additional funds.
No cost extension
Typical third-party documentation requested by Foundations
IRS Form 990, Audited financial statements, sometimes letters of support, 501 c 3 letter, charitable solicitation document
This document will tell you what the required match is
NOFO, RFP, or other grant guidance documentation
This term describes expenses that the funder prohibits.
Unallowable Costs
True or false: the “Other” category can be used to pad your budget to reach the maximum allowable request.
False – expenses in the “Other” category must be allowable and itemized.
This is what happens to grant-funded personnel if there is no sustainability plan.
They get let go