How to Create a PTO Budget
A well-planned PTO budget is the foundation of a successful year for your parent-teacher organization! It can act as an actionable roadmap that takes you through exciting fundraising events and fun activities for your students, ensuring all expenses are covered, and every dollar is accounted for.
Keep reading to learn how to track income and expenses, allocate funds effectively, and plan low-cost fundraising events that help you achieve your goals for the school year.
Making a PTO Budget Step-by-Step
Step 1: Review the Previous Year
Gather last year’s bank statements, receipts, and any notes on income and expenses. This will give you a clear view of your starting point and help identify patterns in spending and earning.
Step 2: Categorize Income
Going through your records, identify how much money your PTO brought in and the different sources. Your categories may look something like this:
- Membership dues
- Fundraiser 1
- Fundraiser 2
- Fundraiser 3
- Donations
Step 3: Categorize Expenses
Sift through your bank statements and receipts to see where you allocated funds last year. Having insight into your spending will help you determine what will be the most important to budget for this year, where you can cut costs, and if you made any unnecessary purchases.
Create your own expense categories, somewhere in between broad and super-specific. For example, you can lump something like “chips” into “food for fundraising events.” Here are a few more ideas you can use to organize spending groups.
It may be helpful to break each category down by event so you understand which costs more to produce. For example, you may have spent significantly more on decorations for a holiday event than you did for a pizza-and-movie night. Making that note will help you prepare for future events similar to past ones.
- School Supplies
- Decorations
- Books
- Student Incentives/Prizes
- Administrative Costs
- Promotional Materials
- Equipment Rentals
- Food & Beverage
- Permits & Licenses
- Guest Speakers
- Field Trips
- Transportation
- Holiday/Seasonal Celebrations
- School Spirit
Step 4: Balancing the Budget
Gather your PTO members and decide which spending categories are absolutely essential and how much you’ll need for each one. These might include administrative costs, licensing, program commitments, and items your students must have for a successful year.
Then, using your expenses from the previous year as a guide, assign spending allowances to the remaining categories in order of importance to your students and school.
Step 5: Planning Ahead
Now that you know how much your PTO brought in last year and where you plan to allocate funds this year, you can begin planning those exciting events and engaging projects! It’s best to start planning shortly after you have your PTO budget figured out so you can adjust for unexpected costs or price changes.
Maximize your PTO Budget with Fun and Affordable Fundraising
If you’re looking for ways to stretch your budget, consider low-cost fundraising opportunities from Gifts ‘N Things. We offer a variety of options, including school stores and catalog fundraising, that require little to no upfront investment. Visit our website to request information today!
