Developing a budget for an agricultural education program is an important aspect of the overall planning process. The program budget involves an estimate of program revenues from all sources and the expected expenditures involved in conducting the program. Budgets should be viewed as a tool in the planning process that translates the resources required to fulfill program objectives into quantitative terms. Program budgets are essentially estimates of the physical and financial resources needed to implement the program. The primary difficulty in preparing such budgets is due to the number of "unknowns." Although the ability to develop a budget increases with experience, first-time agriculture educators potentially experience much frustration over the challenge of developing a working budget. The purpose of this lesson is to provide some basic guidelines and factors to consider in developing budgets for agricultural education programs.

Take the Program Budgeting Pre-Test to see how much you know. 

How do you know how much money you can spend each month? What do you do if you don't have enough money? What are alternatives to solving financially tough situations? Just like personal budgeting, program budgeting requires the balancing of expenses and revenue.
View a sample template for an Agricultural Education Program Budget.

Agricultural educators should follow a series of steps to appropriately budget and plan for their programs.

I. Develop a rationale for program funding.

The first step in the budgeting process it to develop a rationale for program funding. This should be done by examining the program goals and objectives of each program and determining if they could be accomplished without funding.

Next an agricultural educator needs to determine specific needs by examining the curriculum and determining what supplies and equipment are needed to teach the learning objectives of the courses. An advisory committee should be consulted if changes are made to the curriculum which would lead to changes in the budget. If budget cuts are proposed, what is the school system willing to let the teacher eliminate from the curriculum? If the teacher is requesting a budget increase what curriculum is being added? .

II. Compare Agricultural Science and Business program needs to other high school programs.

Recognize and communicate the differences of Agricultural Education programs and other high school programs that do not provide hands on training. Look over this handout to help you compare Agricultural Education program needs to other high school program needs.

III. Identify sources for obtaining needed supplies and equipment.

To develop a quality budget you must identify sources for obtaining needed supplies and equipment. This can be done by conducting a community survey to identify potential contibutors (those who will donate supplies and equipment) in your area and by conducting a web search for companies that produce supplies and equipment that your program might need. You will complete an exercise for this week's assignment in which you conduct a web search for supply and equipment resources. (Go to Assignments below for more details)

IV. Identify opportunities for internal and external funding of the local program.

After determining the real needs of the program, the Agricultural Educator will have to seek out sources of funding. In most cases a school system will not be able to provide all the funding necessary to conduct a quality program. See the list of possible internal and external sources of funding (below in the Class Visuals) to identify potential sources of funding.

V. Understand the significance of a Long Range Plan for physical program needs such as equipment, supplies, buildings, textbooks, and other curricular materials.

The final step is to reassess the Long Range Plan (description is below in the Class Visuals) for physical program needs such as equipment, supplies, buildings, textbooks, and other curricular materials. This must be done annually as needs change.

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