AI Grant Budget Generator

Most funders expect standard categories: Personnel (salaries and wages), Fringe Benefits, Travel, Equipment (items over $5,000), Supplies, Contractual/Consultants, Other Direct Costs, and Indirect Costs. Federal grants follow strict OMB guidelines for these categories. Foundation grants may be more flexible but appreciate organized, transparent budget presentations that clearly show how funds will be used.

A budget justification narrative explains why each line item is necessary for the project and how the amount was calculated. For example, instead of just listing 'Program Coordinator: $50,000,' you would explain the role's responsibilities, the salary basis (market rate, organizational pay scale), and the percentage of time dedicated to the project. Strong justifications demonstrate that every dollar serves the project's goals.

Indirect costs cover organizational overhead like rent, utilities, and administrative support. If you have a federally negotiated indirect cost rate, use that percentage. If not, many funders accept a de minimis rate of 10% of modified total direct costs. Some foundations cap indirect costs at 10-15% or exclude them entirely. Always check funder guidelines before including indirect costs in your budget.

Yes, if you have matching funds or in-kind contributions, include them. Many funders require or prefer cost-sharing because it demonstrates organizational commitment and leverages their investment. List matching funds in a separate column alongside the requested funds. Include both cash match and in-kind contributions such as donated space, volunteer time, or equipment valued at fair market rates.

Common budget mistakes include math errors and inconsistencies between the budget and narrative, unrealistic salary estimates that are too high or too low for the market, missing fringe benefits, excessive indirect costs, inadequate budget for the scope of work proposed, and failing to account for inflation in multi-year budgets. Our generator helps you avoid these pitfalls with a structured, consistent format.