When times are turbulent, your not-for-profit’s budget could end up falling short. Even if you’ve already made a fixed budget for 2024, consider taking a different approach in the future. You might, for example, write a rolling budget, with periodic dates (such as quarterly) when you adjust numbers according to circumstances. A more dramatic approach may be needed if, for instance, you lose a major grant or discover inaccuracies in your fixed budget: reforecasting. Identify variable costs and revenues and the effect trigger events might have on them. Then reforecast items likely to differ substantially from your original estimates.
