1. Templates
  2. Proposals
  3. Budget Proposal Template

Content

Prepared for:
[Client.FirstName][Client.LastName]
[Client.Company]

Budget Proposal Template

[Project.Name]

[Document.CreatedDate]

Header

Budget proposal letter

Dear [Recipient.FirstName],

This Budget Proposal lays out the costs associated with the [Project.Name] Project (the “Project”), which we would like to pursue due to [add reasons why you or your company is doing this Project].

Costs for this Project have been listed in the proposed budget below. We have also provided justification for each cost element. If you have any questions related to this Budget Proposal, please don’t hesitate to email [Sender.FirstName][Sender.LastName], [Position.Name], at [Email] with any questions you may have.

Thank you for your thoughtful consideration of this Budget Proposal.

Sincerely,

[Sender.FirstName][Sender.LastName]

[Sender.Company]

Signature

MM / DD / YYYY

Project description/business plan

Project title:[Project.Name]

Currency for the project:[Currency]

Project start date:[Project.StartDate]

Target completion date:[Target.CompletionDate]

What is [Project.Name]?

We at [Sender.Company] have decided to start [Project.Name] because it helps us achieve the following goals:

  • [List goals]

[Project.Name] will help us achieve these goals in the following ways:

  • [List reasons here]

[Project.Name]’s impact and expected outcomes

[Project.Name] will be expected to impact the following people and/or organizations:

  • [FirstName][LastName] from [Company.Department], because [explanation as to why they will be affected]
  • [FirstName][LastName] from [Company.Department], because [explanation as to why they will be affected]

[Project.Name] will have the following expected outcomes:

  • [List the expected outcomes. For example, if this budget proposal is for boosting your company’s social media presence, you could write “Increase social media visibility by 400% on Instagram, Pinterest, and Facebook” as an expected outcome.]

Key players in [Project.Name]:

The key players of [Project.Name] are:

  • [FirstName][LastName] from [Company.Department], who is responsible for [the part of the Project they will be responsible for]
  • [FirstName][LastName] from [Company.Department], who is responsible for [the part of the Project they will be responsible for]

Period of performance

The budget set forth in this Budget Proposal covers the period of performance for the Project or [add a corresponding number] months of effort.

The Project is estimated to take [number of] months, from [Project.StartDate] to [Target.CompletionDate]. It will consist of the following phases:

  • Beginning phase: Setting up, preparation (2 weeks)
  • Middle phase (2 months)
  • End phase (1 month)

Cost elements

For each section, you can attach a Microsoft Excel budget sheet or a Google Docs document if there’s not enough space here for your needs. You can also include Gantt charts and other types of visuals to help the other party understand your Budget Proposal better.

The following are necessary cost elements of the Project:

  • Direct costs or labor
  • Indirect costs
  • Equipment and materials
  • Travel and misc. expenses

Direct costs or labor

This breakdown of direct costs or labor shows the number of contractors, employees, and freelancers on [Sender.Company]’s payroll for [Project.Name].

Title or labor category[Write out the title of the category, i.e. filming]
Name of contractor or employee[Full name of the contractor or employee, i.e. David Jones]
Contractor or employee?[Specify whether the person being hired for this labor category is a contractor or employee]
Burdened hourly rate[Hourly cost rate to the company plus any fringe, overhead, and/or general and administrative expense markup, i.e. $60]
Number of hours[The number of hours that will be spent for this labor category, i.e. 5 hours for filming]
Amount requested[The amount you’re requesting for this labor category, i.e. $300 for acting]
JustificationThe amount requested for filming is $300 because David Jones will be spending 5 hours on [insert task name and detailed description of task].
Total Amount$300

Indirect costs

This is the breakdown of indirect costs that are expected for [Project.Name].

Title or labor category[Write out the title of the category, i.e. administration]
Estimated hourly rate[Estimated hourly rate paid to employee(s) or contractor(s) for the work done in this labor category, i.e. $60]
Estimated number of hours[Estimated number of hours required for the work done in this labor category, i.e. 10]
Amount requested[The amount you’re requesting for this labor category, i.e. $600 for administration costs]
JustificationThe amount requested for administration is $60 per hour because we are hiring [FirstName][LastName], who has the following certifications and experience: [List them]
[FirstName][LastName] will contribute to [Project.Name] by: [List how they will be contributing].
We estimate that we will require 10 hours of Administration because [list reasons why and if there’s anything that could change the estimated number of hours].
Total Amount$600

Equipment and materials

This breakdown shows the cost of the equipment and materials that we will need for [Project.Name].

Item description
  1. Camera stabilizer grip, Brand: [Brand name], Model: [Model name], Where we got it: [i.e. Walmart, AliExpress, etc.]
  2. Camera stabilizer, Brand: [Brand name], Model: [Model name], Where we got it: [i.e. Walmart, AliExpress, etc.]
Quantity[Number of items, i.e. 2 camera stabilizer grips and 1 camera stabilizer]
Unit price[The price per unit, i.e. $150 for each camera stabilizer grip and $1,800 for each camera stabilizer]
Extended price[The total price, i.e. 2 camera stabilizer grips would cost a total of $300 since each cost $150 and 1 camera stabilizer would cost a total of $1,800.]
JustificationWe need two camera stabilizer grips because our filming contractor, David Jones, needs them for [list out what they’ll be used for].
We need a camera stabilizer because [list out what it’ll be used for].
Total Amount$2,100

Travel and misc. expenses

These are the travel and miscellaneous expenses that we need for [Project.Name].

Expense type[Write out the names of the expenses, i.e.
1. Tickets
2. Hotel booking]
Description[Describe what the expenses will be for, i.e.
1. Airline: [airline name], bought through: [website, in-person at a travel agency, etc.], 4 plane tickets to Monterey
2. Hotel name: [hotel name], bought through: [website, in person at a travel agency, etc.], reservation of 2 rooms for 5 nights]
Unit price[The price per unit, i.e.
1. $200 per airline ticket
2. $290 per room per day spent in the hotel]
Extended price[The total price, i.e.
1. $800 for 4 plane tickets to Monterey
2. $2,900 for 2 rooms for 5 nights at the hotel]
Justification
  1. We need 4 plane tickets to Monterey because we need to travel there for [list out reason]. Each plane ticket costs $200 and will be bought from [airline].
  2. We need to reserve 2 rooms for 5 nights because we will be staying in [Place.Name] to [write out reason for staying in this place for this amount of time].
Total Amount$3,700

Cost summary

Given the above, the total cost for [Project.Name] is estimated as follows:

Direct labor[Total amount for direct costs category, i.e. $1,800]
Indirect costs[Total amount for indirect costs category, i.e. $600]
Equipment and materials[Total amount for equipment and materials category, i.e. $2,100]
Travel and misc. expenses[Total amount for travel and misc. expenses category, i.e. $3,700]
Total Amount[Total amount for the whole project, i.e. $8,200]

This budget allocation was developed by [Sender.FirstName][Sender.LastName] with input from the broader team:

  • [FirstName][LastName], [Position], who suggested [list out suggestions given by this person]
  • [FirstName][LastName], [Position], who suggested [list out suggestions given by this person]
  • [FirstName][LastName], [Position], who suggested [list out suggestions given by this person]

By my signature below, I hereby certify that this Budget Proposal reflects my best estimate of the true and necessary costs for the Project and that the information provided herein is accurate, complete, and current as of the date of my signature.

If you accept this proposal, please email [Sender.FirstName][Sender.LastName], [Position.Name] of [Sender.Company], at [email].

[Sender.Company]

Signature

MM / DD / YYYY

[Sender.FirstName][Sender.LastName]

Use template