What is a Membership Budget for Nonprofit Organizations?

Membership budget forms are considered an important component of an annual budget model and are often used by budgeting and membership managers to budget membership attrition, growth and related revenues. Some of the key functionality in this type of template is that it has input of rates and retention % per membership type. In the lower section of the form, the user enters monthly metrics like expected membership adds, dues and fees. You find an example of this type of template below.

Purpose of Membership Budget Models

Organizations use Membership Budget Models to plan for expected revenues from this area of the organization. When used as part of good business practices in a Financial Planning & Analysis (FP&A) department, a nonprofit can improve its membership-related strategies as well as reduce the chances that cash flows end up over- or under budget because of lack of detailed revenue planning.

Membership Budget Model Example

Here is an example of a Membership Budget input form.

Membership Budget for Nonprofit Organizations Example

Membership Budget for Nonprofit Organizations Example

You can find hundreds of additional examples here

Who Uses This Type of Template?

The typical users of this type of template are: Membership managers and budget managers.

Other Templates Often Used in Conjunction with Membership Budget Models

Progressive Financial Planning & Analysis (FP&A) Departments sometimes use several different Membership Budget Models, along with payroll, capex, operating expense templates and other management and control tools.

Where Does the Data for Analysis Originate From?

The Actual (historical transactions) data typically comes from enterprise resource planning (ERP) systems like: Microsoft Dynamics 365 (D365) Finance, Microsoft Dynamics 365 Business Central (D365 BC), Microsoft Dynamics AX, Microsoft Dynamics NAV, Microsoft Dynamics GP, Microsoft Dynamics SL, Sage Intacct, Sage 100, Sage 300, Sage 500, Sage X3, SAP Business One, SAP ByDesign, Acumatica, Netsuite and others.

In analyses where budgets or forecasts are used, the planning data most often originates from in-house Excel spreadsheet models or from professional corporate performance management (CPM/EPM) solutions.

What Tools are Typically used for Reporting, Planning and Dashboards?

Examples of business software used with the data and ERPs mentioned above are:

  • Native ERP report writers and query tools
  • Spreadsheets (for example Microsoft Excel)
  • Corporate Performance Management (CPM) tools (for example Solver)
  • Dashboards (for example Microsoft Power BI and Tableau)

Corporate Performance Management (CPM) Cloud Solutions and More Examples