Page 36 - 2021 MHA Start-up Guide

UNDERSTANDING YOUR BUDGET

Estimating operating costs
Budgeting is an exercise in thoroughness . As you estimate your operating expenses, engage your
Finance Department if there is one . Do not overlook the following costs:

• New or replacement equipment and asso- • Administrative salaries and supplies and cli-
ciated costs, including freight, in-transit in- ent record management
surance, federal excise tax, sales tax, duty, • Consultant fees
installation costs, warranties, maintenance • Accruals, including overtime, vacation and
service agreements, consumables, training sick leave
and license and registration costs • Travel, including per diem costs
• Technology, including maintenance, installa- • Consumables including handout literature,
tion and training translation and printing costs
• Vehicle renovation or repair • Inflation in salary, supplies and utilities
• Fuel • Regulation-related expenses for vehicle de-
• Facilities and administrative costs, including sign
storage, utilities, parking, insurance • Vehicle depreciation
• Clinician and staff salary, pension and bene- • Contingencies
fits
• Services, including drivers, housekeeping,
security, pharmacy, lab services, radiology
and preventative maintenance

Once your budget is written, the real work begins: presentation and justification. There’s no getting
around it — you’ll have to walk a fine line between supporting the program and providing a high stan-
dard of care for your clients, while also adhering to whatever restrictions your source of funding may
impose. By having supporting information for every line item on your budget, you’ll help minimize ques-
tions and avoid cuts. Tailor your level of detail to the audience; your funder may require a broader view
than an auditor or oversight committee, which means you’ll want to keep the small details to a minimum .
And always be ready to demonstrate the cost of doing nothing . (In other words, have that needs assess-
ment handy!)

34 MOBILE HEALTH CARE PROGRAM STAR T-UP GUIDE