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Retirement Plans for Employees of Non-Profits by ztc36857

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Retirement Plans for Employees of Non-Profits document sample

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									                                      Table of Contents

            1 Income Statement

            2 Grant Allocation

            3 Start Up (Best Place to Begin Budgeting Process)

            4 Parameters

            5 Assumptions

            6 Summary

                  Legend

                 =     Page Heading

                 =     Sub-Heading

                 =     Year of Project

                 =     Calculated line item (no need to enter data in these cells)

                 =     Data entry required

                 =     Line Items for calculation of Program Activity Ratio (Better Business Bureau)

                 =     Line Items for calculation of Fundraising Ratio (Better Business Bureau )

                 =     Statutory Benefits

Red Font         =     Deficit

Good Ratio       =     Favorable ratio according to Better Business Bureau

Bad Ratio        =     Unfavorable ratio according to Better Business Bureau

Hyperlink        =     Reference to another page (Often the Summary Page)

     i.          =     Footnotes denoted by Roman numerals

                 =     Intentional blank space
                                                                                                Income Statement
                                                           Revenues
                                                             Year 1         Year 2          Year 3         Year 4        Year 5
 1 Federal Government Contracts
 2 State Government Contracts
 3 Local Government Contracts
 4 Foundation Grants
 5 Earned Income
 7 Fundraising (i.e. donations, legacies)
 8 Fees for Services (Tuition)                                     $0.00          $0.00           $0.00         $0.00         $0.00
 9 Miscellaneous (i.e. one shot revenues)
   Gifts -in-kind
   Total Income                                                    $0.00          $0.00           $0.00         $0.00         $0.00
                                                            Expenses
                                                             Year 1         Year 2          Year 3         Year 4        Year 5                               Program Activities Ratio =
 1 Wages and Salaries (Trainers)                             #DIV/0!        #DIV/0!         #DIV/0!        #DIV/0!       #DIV/0!                               Total Program Expenses

 2 Fringe Benefits (Trainers)                                #DIV/0!        #DIV/0!         #DIV/0!        #DIV/0!       #DIV/0!                                    Total Expenses                    Result
 3 Wages and Salaries (Trainees)                                   $0.00          $0.00           $0.00         $0.00         $0.00             Year 1 Program Activities Ratio =          #DIV/0!   #DIV/0!
 4 Fringe Benefits (Trainees)                                      $0.00          $0.00           $0.00         $0.00         $0.00             Year 2 Program Activities Ratio =          #DIV/0!   #DIV/0!
 5 Administrative Salaries                                         $0.00          $0.00           $0.00         $0.00         $0.00             Year 3 Program Activities Ratio =          #DIV/0!   #DIV/0!
 6 Administrative Fringe Benefits                                  $0.00          $0.00           $0.00         $0.00         $0.00             Year 4 Program Activities Ratio =          #DIV/0!   #DIV/0!
      Total Personnel Costs (1-6)                            #DIV/0!        #DIV/0!         #DIV/0!        #DIV/0!       #DIV/0!                Year 5 Program Activities Ratio =          #DIV/0!   #DIV/0!
 7 Equipment (For Training)                                        $0.00          $0.00           $0.00         $0.00         $0.00
 8 Office Rent
 9 Supplies
10 Utilities                                                                                                                                                      Fundraising Ratio =
11 Printing                                                                                                                                                  Total Fundraising Expenses

12 Postage/Mailing                                                                                                                                           Total Related Contributions              Result
13 Phone                                                                                                                                        Year 1 Fundraising Ratio =                 #DIV/0!   #DIV/0!
14 Insurance                                                                                                                                    Year 2 Fundraising Ratio =                 #DIV/0!   #DIV/0!
   Total Basic Operating Expenses (7-14)                           $0.00          $0.00           $0.00         $0.00         $0.00             Year 3 Fundraising Ratio =                 #DIV/0!   #DIV/0!
15 Advertising                                                                                                                                  Year 4 Fundraising Ratio =                 #DIV/0!   #DIV/0!
16 Fundraising                                                                                                                                  Year 5 Fundraising Ratio =                 #DIV/0!   #DIV/0!
17 Travel Expenses
18 Web support
19 Indirect Costs
20 Miscellaneous (i.e. one time expenses)
   Total Operating Expenses (7-20)                                 $0.00          $0.00           $0.00         $0.00         $0.00
   Total Program Cost                                        #DIV/0!        #DIV/0!         #DIV/0!        #DIV/0!       #DIV/0!
   Surplus (Deficit)                                         #DIV/0!        #DIV/0!         #DIV/0!        #DIV/0!       #DIV/0!
                                            *Better Business Bureau recommends that a non-for-profit organization should spend at least 65% of its expenses on program activities.
                                            *Better Business Bureau recommends that a non-for-profit organization should spend no more than 35% of contributions on fundraising.
Grant Allocation
                                                                                      Program or Project                                                                     Grant Request
                                                                    Year 1        Year 2        Year 3         Year 4             Year 5                   Year 1      Year 2      Year 3      Year 4      Year 5
 1 Wages and Salaries (Trainers)                                    #DIV/0!       #DIV/0!       #DIV/0!         #DIV/0!           #DIV/0!
 2 Fringe Benefits (Trainers)                                       #DIV/0!       #DIV/0!       #DIV/0!         #DIV/0!           #DIV/0!
 3 Wages and Salaries (Trainees)                                         $0.00         $0.00        $0.00             $0.00              $0.00
 4 Fringe Benefits (Trainees)                                            $0.00         $0.00        $0.00             $0.00              $0.00
 5 Administrative Salaries                                               $0.00         $0.00        $0.00             $0.00              $0.00
 6 Administrative Fringe Benefits                                        $0.00         $0.00        $0.00             $0.00              $0.00
          Total Personnel Costs (1-6)                               #DIV/0!       #DIV/0!       #DIV/0!         #DIV/0!           #DIV/0!                      $0.00       $0.00       $0.00       $0.00       $0.00
 7 Equipment (For Training)                                              $0.00         $0.00        $0.00             $0.00              $0.00
 8 Office Rent                                                           $0.00         $0.00        $0.00             $0.00              $0.00
 9 Supplies                                                              $0.00         $0.00        $0.00             $0.00              $0.00
10 Utilities                                                             $0.00         $0.00        $0.00             $0.00              $0.00
11 Printing                                                              $0.00         $0.00        $0.00             $0.00              $0.00
12 Postage/Mailing                                                       $0.00         $0.00        $0.00             $0.00              $0.00
13 Phone                                                                 $0.00         $0.00        $0.00             $0.00              $0.00
14 Insurance                                                             $0.00         $0.00        $0.00             $0.00              $0.00
   Total Basic Operating Expenses (7-14)                                 $0.00         $0.00        $0.00             $0.00              $0.00                 $0.00       $0.00       $0.00       $0.00       $0.00
15 Advertising                                                           $0.00         $0.00        $0.00             $0.00              $0.00
16 Fundraising                                                           $0.00         $0.00        $0.00             $0.00              $0.00
17 Travel Expenses                                                       $0.00         $0.00        $0.00             $0.00              $0.00
18 Web support                                                           $0.00         $0.00        $0.00             $0.00              $0.00
19 Indirect Costs                                                        $0.00         $0.00        $0.00             $0.00              $0.00
20 Miscellaneous (i.e. one time expenses)                                $0.00         $0.00        $0.00             $0.00              $0.00
   Total Operating Expenses (7-20)                                       $0.00         $0.00        $0.00             $0.00              $0.00                 $0.00       $0.00       $0.00       $0.00       $0.00


   Total Program Cost                                               #DIV/0!       #DIV/0!       #DIV/0!         #DIV/0!           #DIV/0!                      $0.00       $0.00       $0.00       $0.00       $0.00
   Surplus (Deficit)                                                #DIV/0!       #DIV/0!       #DIV/0!         #DIV/0!           #DIV/0!                  #DIV/0!     #DIV/0!     #DIV/0!     #DIV/0!     #DIV/0!
                                       *Better Business Bureau recommends that a non-for-profit organization should spend at least 65% of its expenses on program activities.
                                       *Better Business Bureau recommends that a non-for-profit organization should spend no more than 35% of contributions on fundraising.
                 Program Activities Ratio =                         Tabulated to include                                  Fundraising Ratio =
                  Total Program Expenses                              Grant Request                                  Total Fundraising Expenses                                      Contingency Fund (2 -5%)
                       Total Expenses                    Result        Spreadsheet                                   Total Related Contributions            Result                  Year      Rate      Amount
   Year 1 Program Activities Ratio =          #DIV/0!   #DIV/0!                                             Year 1 Fundraising Ratio =           #DIV/0!   #DIV/0!                 Year 1                   $0.00
   Year 2 Program Activities Ratio =          #DIV/0!   #DIV/0!                                             Year 2 Fundraising Ratio =           #DIV/0!   #DIV/0!                 Year 2                   $0.00
   Year 3 Program Activities Ratio =          #DIV/0!   #DIV/0!                                             Year 3 Fundraising Ratio =           #DIV/0!   #DIV/0!                 Year 3                   $0.00
   Year 4 Program Activities Ratio =          #DIV/0!   #DIV/0!                                             Year 4 Fundraising Ratio =           #DIV/0!   #DIV/0!                 Year 4                   $0.00
   Year 5 Program Activities Ratio =          #DIV/0!   #DIV/0!                                             Year 5 Fundraising Ratio =           #DIV/0!   #DIV/0!                 Year 5                   $0.00
                                                           Start Up
  This budget template can be used to generate multi-year projections for a green jobs training program
  and will enable administrators to better understand the costs associated with such a program.
  The budget template can also be used to apply for grants. To better use this budget template please
  follow the directions in the Start Up Page, and always return to the Start Up Page when you encounter any problems.
  Also, please note that data must be entered into both the Labor Costs Page and the Assumptions page
  to get accurate estimates for the Income Statement Page and the Grant Allocation Page.

1 The first thing a user of this program should do is familiarize themselves with the Legend provided on the:
               -Table of Contents Page.
                        -The Legend explains individual aspects of the program by a color coding system.
2 Secondly, a user should familiarize themselves with first printable product of this program:
             -Income Statement Page
                        -Incomes Statement page is a five year breakdown of revenues and expenses.
                                         -It will also calculated the surplus (deficit) for each fiscal year
                        -Not all line items will be the same for every organization.
                                         -Ex: Some organizations will not have line items for Indirect Costs or Travel Expenses.
                                         -All line items with blank cell spaces can be altered.
                                         -We recommend not changing line items with gray cell spaces, as these have embedded calculations.
                        -Data entries from the Labor Costs Page will automatically enter data into the Income Statement page for the following items:
                                       -Fees for Services (Tuition)
                                       -Wages and Salaries (Trainers)
                                       -Fringe Benefits (Trainers)                                   Calculated cells are marked ---
                                       -Wages and Salaries (Trainees)
                                       -Fringe Benefits (Trainees)
                                       -Administrative Salaries
                                       -Administrative Fringe Benefits
                                       -Equipment (For Training)
                        -Data entries that must be inputted are as follows:
                                       Revenues:                                                                  Expenses:
                                                      -Federal Government Contracts                                       -Office Rent
                                                      -State Government Contracts                                         -Supplies
                                                      -Local Government Contracts                                         -Utilities
                                                    -Foundation Grants                                                    -Printing
                                                    -Earned Income                                                        -Postage/Mailing
                                                    -Fundraising (i.e. donations, legacies)                               -Phone
                                                    -Fees for Services (Tuition)                                          -Insurance
                                                    -Miscellaneous (i.e. one shot revenues)                               -Advertising
                                                                                                                          -Fundraising
                                                                                                                          -Travel Expenses
                                                                                                                          -Web support
                                                                                                                          -Indirect Costs
                                                                                                                          -Miscellaneous (i.e. one time expenses)
                        -The two ratios in the Income Statement are a guide for non-profit organizations to conform to Better Business Bureau guidelines.
                                      - Light Blue denotes Program Activity Costs as a percentage of all operating expenses - costs that do not count as overhead
                                                     -Program Activities Ratio
                                      - Light Green denotes Fundraising costs as a percentage of all contributions - exclusive of Government and Foundation Grants.
                                                     -Fundraising Ratio
3 Users should next familiarize themselves with the second printable product of this program:
             -Grant Allocation Page
                        -This page is to be used for applying for grants once the program cost is calculated from the Income Statement Page.
                        -All cells for the "Program or Project" spreadsheet are automatically inputted once one fills out the Income Statement Page.
                        -The "Grant Request" spreadsheet is meant to reduce or possibly eliminate the Deficit calculated from the Income Statement Page.
                        -Data entries that must be inputted are as follows:
                                       -Wages and Salaries (Trainers)                                -Printing
                                       -Fringe Benefits (Trainers)                                   -Postage/Mailing
                                       -Wages and Salaries (Trainees)                                -Phone
                                       -Fringe Benefits (Trainees)                                   -Insurance
                                       -Administrative Salaries                                      -Advertising
                                       -Administrative Fringe Benefits                               -Fundraising
                                       -Equipment (For Training)                                     -Travel Expenses
                                       -Office Rent                                                  -Web support
                                       -Supplies                                                     -Indirect Costs
                                       -Utilities                                                    -Miscellaneous (i.e. one time expenses)
                        -The two ratios provided in the Grant Allocation Page provide a guide for non-profit organizations to conform to Better Business Bureau guidelin
                                      -Both include the combined calculations of the Expense spreadsheet and the Grant Request Sheet
                                      - Light Blue denotes Program Activity Costs as a percentage of all operating expenses - costs that do not count as overhead
                                                     -Program Activities Ratio
                                      - Light Green denotes Fundraising costs as a percentage of all contributions - exclusive of Government and Foundation Grants.
                                                     -Fundraising Ratio
                        -Contingency fund table
                                      -A contingency fund (typically 2%-5% of the budget) is used primarily for when an organization does not have cash on hand.
                                                     -Organizations can incur this situation because of a variety of situations, such as poor economic climate, drop in rev
                                      -To calculate how much additional funding is needed to create a contingency fund a user must:
                                                     -Enter the contingency fund rate (ideally between 2%-5%) in the contingency fund table
                                                     -The amount yielded should raised either through a grant request or some other form of funding.
4 Users should begin to enter data into the:
             -Labor Costs Page
                        -This page is where a user enter initial data entries that will generate additional data in the Income Statement and Grant Allocation Pages
                        -As stated above, data entries into the Labor Costs Page will automatically entry data into the Income Statement page for the following items:
                                        -Fees for Services (Tuition)
                                        -Wages and Salaries (Trainers)
                                        -Fringe Benefits (Trainers)
                                        -Wages and Salaries (Trainees)
                                        -Fringe Benefits (Trainees)
                                        -Equipment (For Training)
                        -There is also an intermediate calculations within the Labor Costs page:
                                       - The Number of Employees (Trainers)
                        -Data entries that must be entered are as follows
                                       -Number of Clients (Trainees)                                   -Average Hours Per Week (Trainees)
                                       -Number of Clients per trainer                                  -Hourly Pay (Trainees)
                                     -Average Hours Per Week (Trainers)                                -Weeks worked in a year (Trainees)
                                     -Hourly Pay (Trainers)                                            -Number of Administrative Personnel
                                     -Weeks worked in a year (Trainers)                                -Administrative Salaries (overall Administrative payroll)
                                     -Number of paid trainees                                          -Cost of Equipment per Client
5 The next page users should review is the:
             -Assumptions Page
                        -This page highlights major assumptions made in the Labor Costs , Income Statement, and Grant Allocation Pages.
                        -This page contains fringe benefit calculators for the following personnel, which will automatically be inputted into Income Statement page once
                                      -Trainers
                                      -Administrative
                         -This page also contains health insurance calculators for the following personnel, which will be inputted into the Income Statement page once co
                                       -Trainers
                                       -Administrative
                                       *Total Fringe Benefit calculation will automatically inputted into Parameters, Income Statement, and Grant Allocation Pages
                                                                once fringe benefit calculators and health insurance calculators are completed
6 The final page for your review is the
              -Summary Page
                         -All extraneous information embedded within the other five worksheets (i.e. line item definitions), will be included in this page.
                         - Summary Page notes will be signified by hyperlinks.
ollowing items:
ous (i.e. one time expenses)
 Bureau guidelines.
do not count as overhead

ment and Foundation Grants.




me Statement Page.




o Better Business Bureau guidelines.

do not count as overhead
ment and Foundation Grants.



oes not have cash on hand.
 or economic climate, drop in revenue source, or bad timing.



orm of funding.



 nd Grant Allocation Pages
 t page for the following items:




dministrative payroll)




nto Income Statement page once completed:
 Income Statement page once completed:



and Grant Allocation Pages




ill be included in this page.
                                                               Labor Costs
                                                           Year 1        Year 2        Year 3        Year 4        Year 5
                          Revenues
Number of trainees paying tuition
Fee per clients (Tuition)

                           Expenses
Personnel Costs
Number of Clients (Trainees)
Number of Clients per trainer
Number of Employees (Trainers)                             #DIV/0!       #DIV/0!       #DIV/0!       #DIV/0!       #DIV/0!
Average Hours Per Week (Trainers)
Hourly Pay (Trainers)
Weeks worked in a year (Trainers)
Fringe Benefits (Trainers)                                  15.55%        15.55%        15.55%        15.55%        15.55%
           - Check Assumptions page to calculate.
Health Insurance                                           #DIV/0!       #DIV/0!       #DIV/0!       #DIV/0!       #DIV/0!
           -Check Assumptions page to calculate
Number of paid trainees
Average Hours Per Week (Trainees)
Hourly Pay (Trainees)
Weeks worked in a year (Trainees)
Fringe Benefits (Trainees)                                   0.00%         0.00%         0.00%         0.00%         0.00%
           - Check Assumptions page to calculate.
Health Insurance                                                     0             0             0             0             0
           -Check Assumptions page to calculate
Number of Administrative Personnel
Administrative Salaries (overall Administrative payroll)
Fringe Benefits (Administrative)                            15.55%        15.55%        15.55%        15.55%        15.55%
           -Check Assumptions page to calculate
Health Insurance                                                     0             0             0             0             0
           -Check Assumptions page to calculate
Operating Expenses
Number of Clients (Trainees)   0   0   0   0   0
Cost of Equipment per Client
                                                                                                  Assumptions
Labor Costs
1. Wages for personnel are only calculated for Full Time Employees (Trainers)
            - Spreadsheet can be altered to calculate Part Time Employees (Trainers)
Income Statement
Revenues
1. Revenues can exceed or fall below expenses in this budget format.
              - Grant request portion of Expenses page should make up an shortfall if there is one.
2. Fees for Services need not be greater than 0 if training services are offered for free
Expenses
1. Administrative Salaries are for Executive Director, Office Manager, Clerical Person, and other personnel positions that assist with administration. i.
2. The amount of personnel (trainers) is determined by organization's preferred ratio: number of trainers per client.
             -Personnel salaries are calculated by multiplying the number of trainers by hours per week, weeks per year and hourly wage.
3. Fringe Benefits vary depending on state mandates and organization's discretionary benefits
             -Fringe Benefits Costs typically range from 23% to 28% of salaries. ii.
             -Baseline projections for a new non-profit in New York State are already inputted within the Fringe Benefit Calculators listed below.
             -Fringe Benefits are not offered to Trainees within this budget.
                          -Trainees' salaries are considered stipends and thus do not require statutory or discretionary benefits.
                       a. - All employers must pay half of FICA (Social Security). The required contributions are below for 2009
                                       -Social Security: 12.4% on your first $106,800 of wages
                                       -Medicare: 2.9% on all your wages
                                       -Total FICA: 15.3% maximum
                       b. -All employers must pay Federal Unemployment Tax (FUTA): 6.2% for 2009.
                                       -Scheduled to decrease after December 31,2008. Extended by Public Law 110-343 through calendar year 2009. iii.
                                      -For complete breakdown of each state's unemployment tax rate visit:
                                                    -United States Department of Labor: Employment and Training Administration
                       c. -All employers are subject to payment of State Unemployment Benefit, either through the State Unemployment Tax or through purchasing an unemployed insurance fund.
                                      -State Unemployment Tax (SUT): 2% to 7%
                                                   - The SUT is highly complicated by state's idiosyncrasies, i.e. 3 States require minimal employee contributions.
                                                   - For New York, unemployment insurance benefits comes from taxes paid by employers.
                                                                  -SUT is divided into 2 parts: normal and subsidiary, both of which are determined by various factors. iv.
                                                                  - For new employers in NY in 2009, the unemployment tax rate, including re-employment tax, is 4.1%. v.
                                      -Non-profits may elect to become liable for payments in lieu of contributions
                                                   -For the purpose of this projection, payment of New York SUT is assumed.
                       d. -All employers must pay Workers' Compensation Insurance:
                                      -Workers Compensation insurance is determined various factors
                                                   -Self insured vs. State or private insurance
                                                   -Number of employees.
                                                   -Number of previous compensation claimants
                                      -Additionally, Workers' Compensation Insurance is determined by workers' classification, which is an estimate of the danger associated with a job
                                                   -Administrative Work will require a lower insurance rate
                                                                  -Conservative industry standard for executive workers compensation rate is .29 per $100 remuneration. vi.
                                                                  -Conservative industry standard for clerical workers compensation rate is .24 per $100 remuneration. vii.
                                                   -Trainers will require a higher insurance rate
                                                                  -In 2007, New York Compensation Rating Board (NYCIRB) listed the rate for teachers at non-profit organization as .69 per $100 remuneration. This rate is, however, highly volatile and for the current year a representative
                                      -For additional information on Workers Compensation Insurance visit your state's Worker Compensation Board website: For New York, visit:
                                                   -New York State Workers Compensation Board                              or      New York Compensation Rating Board
                       e. - Employers must offer Short-Term Disability Benefits: 1% to 2%.
                                      -Employers may comply by either purchasing an insurance policy or becoming self-insured
                                      -NYSIF disability benefits insurance has two individual rates for calculating premium for employees: a male rate and a female rate.
                                                   -Effective January 1, 2007, the male rate for an employee is $0.16 per $100.00 of payroll, of $28.29 per employee.
                                                   -Effective January 1, 2007, the female rate for an employee is $0.32 per $100.00 of payroll, up to a maximum annual rate of $56.58 per employee
                    -For more information on New York State Disability Insurance visit:
                                -New York State Insurance Fund
f. -Employers may offer Life and Long-Term Disability Insurance: 1.5% to 6%.
              -For the purpose of this projection, Long-Term Disability Insurance will not be offered, as it may be unfeasible for small non-profits.
                           -In lieu of this, non-profits can make themselves competitive by:
                                          -offering a 401 K matching program and industry standard health insurance, along with complying with regulatory requirements.
g. - Employers may offer health insurance; usually split amongst employer and employee
              -Employers may offer up to 90% of plan, highly variable
              -For the sake of this projection will not include health insurance in the fringe benefit calculator.
                           -But we will calculate using a sidebar, which will be automatically included into the overall fringe benefits for both the Income Statement and Grant Allocation.
                    -To calculate health insurance, employer should:
                                  -Multiply the number of workers who will receive health insurance * the type of plan * the employer percentage contribution.
                    -For all plans in 2007: viii.
                                 -Single coverage for all small firms (3-199 workers) was on average $4,553
                                              -Employer contribution was on average $3,992
                                              -Employer percentage contribution on average was 87.6785%
                                 -Single coverage for all large firms (200 or more workers) was on average $4,442
                                              -Employer contribution was on average $3,683
                                              -Employer percentage contribution on average was 82.9131%
                                 -Family coverage for all small firms (3-199 workers) was on average $11,835
                                              -Employer contribution was on average $7,599
                                              -Employer percentage contribution on average was 64.208%
                                 -Family coverage for all large firms (200 or more workers) was on average $12,233
                                              -Employer contribution was on average $9,422
                                              -Employer percentage contribution on average was 77.0212%
                    -For more information on ranges for all types of healthcare plans visit:
                                -The Kaiser Family Foundation and Health Research and Educational Trust: Employer Health Benefits: 2007 Annual Survey                                               pg 72-73
h. - Employers may offer Retirement Plans; more difficult for smaller organizations: 1% to 2%
              - Almost all organizations are moving away from defined benefit plans, and many organizations are also increasingly moving away from defined contribution plans
              -In lieu of this, employers are offering Tax-Exempt Contribution Plans (i.e. 401 K plans).
                            -Difficult for smaller organizations
                                -A common employer matching formula is 50% of 401(k) employee deferral contributions, based on a maximum employee deferral rate of 6% of compensation.
                                              -Thus, a common approach is to budget 3% of payroll for 401 k's.
                                              -For more information visit:
                                                            -401 K Center For Employees
j. - Employers may offer Payed Time Off (PTO): Vacation and Holiday/Jury/Military Service/Family Leave Pay; difficult for smaller organizations: 1% to 3%.
               -Most job training programs are performed in sessions, and therefore do not required backfilling training positions.
               -For the purpose of this projection, we will assume no PTO.
                             -All trainer vacation time will therefore be taken when not in session
                             -Administrative vacation time will not require backfilling the position
                             - Unused sick time will not be accrued for trainers and in the event of sickness client to trainer ratios will rise or class will be cancelled.
                             -Unused sick time will not be accrued for administrative staff.
               -If you plan to offer coverage, "Check nonprofits and businesses for local practices. Very unpredictable cost." ix
k. -FUTA is 6.2%. Any state that pays its SUT in a timely fashion by filing IRS Form 940, can receive up to a 5.4% tax credit towards their FUTA. x.
               -Tax Credit for New York State            (embedded into Fringe Benefit Calculator)
               -For more information on other states tax credits visit:
                                -United States Department of Labor: Employment and Training Administration

                         Fringe Benefit Calculator (Trainers)                                                                           Fringe Benefit Calculator (Administrative)
             Benefits             Year 1      Year 2     Year 3          Year 4       Year 5                                        Benefits        Year 1     Year 2    Year 3           Year 4      Year 5
a.   FICA (minimum - 7.65%)           7.65%         7.65%      7.65%        7.65%         7.65%                        a.   FICA (minimum - 7.65%)        7.65%        7.65%      7.65%     7.65%       7.65%
b.   FUTA ( 6.2%)                     6.20%         6.20%      6.20%        6.20%         6.20%                        b.   FUTA ( 6.2%)                  6.20%        6.20%      6.20%     6.20%       6.20%
                      c. SUT/Unemploy. Insur.           4.10%        4.10%       4.10%      4.10%       4.10%                        c. SUT/Unemploy. Insur.               4.10%    4.10%    4.10%    4.10%    4.10%
                      d. Workers Comp. Insur.                                                                                        d. Workers Comp. Insur.
                      e. Short-term Disability                                                                                       e. Short-term Disability
                      f. Life/Long Term Disability      0.00%        0.00%       0.00%      0.00%       0.00%                        f. Life/Long Term Disability          0.00%    0.00%    0.00%    0.00%    0.00%
                      g. Health Insurance               0.00%        0.00%       0.00%      0.00%       0.00%                        g. Health Insurance                   0.00%    0.00%    0.00%    0.00%    0.00%
                      h. 401 K plans                    3.00%        3.00%       3.00%      3.00%       3.00%                        h. 401 K plans                        3.00%    3.00%    3.00%    3.00%    3.00%
                       j. PTO                           0.00%        0.00%       0.00%      0.00%       0.00%                         j. PTO                               0.00%    0.00%    0.00%    0.00%    0.00%
                                Reductions                                                                                                     Reductions
                      k. 940 Tax Credit                 5.40%        5.40%       5.40%      5.40%       5.40%                        k. 940 Tax Credit                     5.40%    5.40%    5.40%    5.40%    5.40%
                             Total                   15.55%        15.55%      15.55%    15.55%       15.55%                                Total                        15.55%    15.55%   15.55%   15.55%   15.55%



                                                                                                      Health Insurance Calculator
                                                                                                               Year 1    Year 2   Year 3 Year 4 Year 5
                                                                Number of Trainers                              #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!
                                                                Price of Individual Plan
                                                                Employer Percentage
                                                                Total Employer Contribution (Trainers)           #DIV/0!       #DIV/0!    #DIV/0!       #DIV/0!         #DIV/0!

                                                                Number of Administrative Staff                             0          0             0               0         0
                                                                Price of Individual Plan
                                                                Employer Percentage
                                                                Total Employer Contribution (Admin)                        0          0             0               0         0

5. Surplus (Deficit) is calculated by subtracting operating expenses from revenues.
             - Conservative estimate would also not include in-kinds in Total Income.
             - Pending Grant Requests should not be included in this equation.

Grant Allocation
1. The "Grant Request" spreadsheet is to be used to make up budget shortfall from "Program or Project" spreadsheet.
2. Surplus (Deficit) for "Grant Request" spreadsheet is calculated:
             -by adding the total program cost from the "Grant Request" spreadsheet (the amount asked for) plus the surplus (deficit) from the "Program or Project" spreadsheet
3. Contingency Fund typically consumes 2% to 5% of budget
             - Another way to compute contingency fund is by:
                            - Adding the largest projected negative cash flow during a year with at least one additional month's operating expenses
Endnotes
         i. "Creating a Budget that Works: A Self -Guided Training Handbook for Nonprofit Community Development Organizations" The Enterprise Foundation (1999) pp. 28
                        -available online at http://www.practitionerresources.org/cache/documents/614/61439.pdf
        ii. Ibid pp. 18
                        -available online at http://www.practitionerresources.org/cache/documents/614/61439.pdf
      iii. "2008 Instructions for Form 940: Employer's Annual Federal Unemployment (FUTA )Tax Return" Department of the Treasury Internal Revenue Service pp. 1
                        -available online at http://www.irs.gov/pub/irs-pdf/i940.pdf
       iv. New York State Department of Labor
                        -available online at http://www.labor.state.ny.us/ui/bpta/TAXRATES.shtm
        v. Ibid
                        -available online at http://www.labor.state.ny.us/ui/bpta/TAXRATES.shtm
       vi.
      vii. Interview with Vito Sciscioli, Executive Director, 20/20, June 2, 2009
     viii. Gary Claxton, et al. "Employer Health Benefits: 2007 Annual Survey" The Kaiser Family Foundation and Health Research and Education Trust (2007) pp. 72-73
                        -available online at http://www.kff.org/insurance/7672/upload/76723.pdf
       ix. "Creating a Budget that Works: A Self -Guided Training Handbook for Nonprofit Community Development Organizations" The Enterprise Foundation (1999) pp. 33
                        -available online at http://www.practitionerresources.org/cache/documents/614/61439.pdf
x. United States Department of Labor: Employment and Training Administration
              -available online at http://www.ows.doleta.gov/unemploy/uitaxtopic.asp
  Above general information for 2009 provided by comments from Professor Thomas Dennison
e and for the current year a representative from NYCIRB said that the only thing he could verify was that the rate would be less than .95 per 100 remuneration.
                                                                                               Summary
Labor Costs
         1 It is up to the organization whether or not they choose to charge a fee for service (tuition)
                         -Some organizations institute a fee, sometimes even a small fee, to enroll more dedicated students
                         -The type of students who graduate is very important because reputation is very important for the lon
         2 Number of Clients per trainer varies according to the organization
                         -LA Green Job Corps
                                      -8:1 ratio and 10:1 ratio
                         -City of Chicago Green Corps
                                      - Technical crews work in 5:1 ratio
                                      -For classroom and basic certification it is a 30:1 ratio
                                      -Average for training is 8:1 ratio
                         -Council for Adult and Experiential Learning
                                      -Depends on classroom size and level of technical instruction
                                      -Adjusting a solar panel, installing a window, or fixing a car requires 12:1 ratio or a 15:1 rat
                                      -Case management requires a 20:1 ratio or a 30:1 ratio
         3 Number of Employees (Trainers) is calculated from data within the Labor Costs page.
                         -Number of clients is divided by clients per trainer
         4 Green job training programs are not required to offer wages or a stipend to trainees
                         - However, many programs do because training, which is often done in the traditional hours of 9am -5
Assumptions
         1 "You can take advantage of the FUTA (Federal Unemployment Tax Act) credit by paying your New York State Unem
           You can obtain a 5.4% credit against your annual Federal Unemployment Tax, using Form 940 or 940EZ, if you pay
           following the close of the taxable year. This is the date the FUTA return is due.
           If you pay the state tax after January 31, the credit will be limited to 90% of the amount you could have received i
                         -New York State Department of Labor
Income Statement
         1 Although it is difficult to adjust for inflation, future expenses should consider the added costs associated with infla
         2 Gifts-in-kind may be calculated as part of sum of Total Income; however, word of caution as most in-kinds are diff
                         is cost for programs, Office Rent is minimal, space.
           Office Rent -For many administrative offices and trainingas space is donated.
                         -However, spacing costs, as calculated by employees or trainees per square foot, should be considered
         3 Indirect Costs are often calculated for organizations that have more than one program, usually to better allocate a
                         -If your organization has only one program, it may be best to ignore.
         4 Surplus (Deficit) = Total Income - Total Operating Expenses
                         -If red font, it indicates a deficit.
Grant Allocation
         1 Surplus (Deficit) for "Grant Request" spreadsheet is calculated:
                         -by adding the total program cost from the "Grant Request" spreadsheet (the amount asked for) plus t
Summary

enroll more dedicated students
ation is very important for the longevity of green job training program




ar requires 12:1 ratio or a 15:1 ratio




 in the traditional hours of 9am -5pm, often disallows trainees from earning a paycheck

  paying your New York State Unemployment Insurance Tax in a timely manner.
sing Form 940 or 940EZ, if you pay your state tax for the year by the 31st of the January

amount you could have received if you had paid on time."


e added costs associated with inflation.
of caution as most in-kinds are difficult to liquidate.

square foot, should be considered in the event that donated space is revoked.
ogram, usually to better allocate administrative costs.




heet (the amount asked for) plus the surplus (deficit) from the "Program or Project" spreadsheet

								
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