Event budgets are a necessity and always a top stressor for our clients. The unknown of what something will cost, the dynamic variables, the fear that a key line item is missing – these are all valid concerns as you embark on a planning journey. One of the most critical aspects of event planning is managing the budget effectively. Here are five key tips to help you feel confident in your event budgeting!
Make a Budget and Keep it Updated
- Creating an event budget is one of your first steps in the planning process. Unsure what to include? Check out this past blog about budget line items.
- Set time on your calendar every 2 – 3 weeks to update your budget. Keep a column with estimated costs and actual costs. This will help you see opportunities to reallocate dollars and ensure nothing is missing.
Research and Obtain Quotes
- Research multiple vendors for each service or product to compare prices and quality.
- Don’t hesitate to negotiate prices and terms. Many vendors are willing to adjust their prices to win your business, especially for larger events.
People Power Can Be Costly
- Trying to save? Look at your quotes and see if there are opportunities for volunteers to do a task versus paying labor for it. Examples include chair or linen set-up, coat check, or delivery fees. This can result in a cost-effective way to reduce your budget’s bottom line.
Include a Budget Contingency Bucket
- Include a contingency bucket (roughly 5 – 10% of your total budget). This will alleviate any stress when a surprise cost arises or something costs more than anticipated. Costs in this bucket often include rentals that the venue doesn’t include, additional AV equipment to execute a vision, or must-have entertainment.
Avoid Unnecessary Fees
- This sounds so obvious but by being timely many costs can be saved. This includes ordering swag without rush fees, paying invoices in a timely manner, and being ahead on your print needs.
- You can also avoid unnecessary fees by turning in accurate headcounts for your meal counts, linens, and printed programs. A small overage is a nice safety net but by taking the time to be accurate in your counts, you can save on many extra meals.
Stay Flexible and Be Prepared
- Be flexible and adaptable to changes throughout the planning process. Unexpected circumstances may require adjustments to your budget and plans.
- Have a contingency plan in place for major unforeseen events that could impact your budget, such as weather-related issues or vendor cancellations.
Review Your Final Budget and Evaluate
- After the event, conduct a thorough financial review of your final budget. Compare your actual expenses and revenues against your budget to identify areas of improvement for future events.
- Gather feedback from stakeholders, vendors, and attendees to gain insights into cost-effectiveness and attendee satisfaction.
Mastering event budgets requires meticulous planning, attention to detail, and effective communication with stakeholders. By following these guidelines and continuously refining your budgeting skills, you can ensure that your events are not only memorable but also financially successful. Remember, a well-managed budget is the foundation for a successful event that leaves a lasting impression on your attendees.
