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budget.doc

APA

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My company is a small Medical Coding Company Budgets must contain (at a minimum) the following major categories: 1. Personnel expenses (professional, administrative, part/full time, etc.). These include benefits packages (~15% of annual salary amounts as a rule of thumb). 2. Facility expenses (building, rent/lease/ownership payments, utilities - gas/electric/water/garbage, etc.). 3. Equipment expenses (what equipment is needed, computers, technology, software, service contracts, etc.) Be as detailed as possible 4. Miscellaneous expenses (advertising/marketing, legal, travel, meals/entertainment, etc.) 1. Specify the budgeting system and justify why you are using it (consider Performance Based Budgeting, Zero Based Budgeting, Balanced Budgeting, Hybrid Budgeting, Multi-Year Budgeting, etc.). 2. Make sure to delineate between fixed and variable costs. Think about issues such as inflation/cost of living adjustments, etc. These are often specified in a contingency budget line item. 3. Capital expenses are typically >$500. Anything less are just a Supplies line item on the budget. 4. Marketing and advertising expenses should be detailed and may reach an upward limit of 20% of the overall budget. 5. Make sure you have a budget line item for Training as well as Performance Measures such as survey distribution and analysis or CQI (continuous quality improvement) programming, etc. 6. Always include a line item for "in kind" services provided. Typically this is a negative line item in parenthesis ($5000) with the detail of what service it is. Typically this is made up of volunteer hours and 10% of the total budget amount and provides grant funders with a buy in by the public health provider. Sometimes you can get creative and use the hours over 40 that a salaried employee may also