Get Budget Narrative

While the budget table gives the total cost for each category of the budget, the budget narrative gives the item by item breakdown for each category and shows the calculations used to derive the costs.

By contrast, the budget narrative justification is a detailed description that addresses each of the major cost categories (salaries, fringe benefits, equipment, travel, supplies, other direct costs and indirect costs), and explains both the necessity and the basis for the proposed costs.

The budget narrative explains in a clear and concise manner the costs in each budget category, and which budget items will be covered by the grant and which ones will be covered by matching funds (e.g., cost-share or in-kind).

The budget narrative serves two purposes: it explains how the costs were estimated, and it justifies the need for the cost.

The budget narrative explains in a clear and concise manner the costs in each budget category, and which budget items will be covered by the grant and which ones will be covered by matching funds (e.g., cost-share or in-kind).

Fringe benefits include but are not limited to the cost of leave, employee insurance, pensions and unemployment benefit plans. The budget narrative should identify the applicant's fringe benefit rate. The applicant should not combine the fringe benefit costs with direct salaries and wages in the personnel category.

What Should a Budget Narrative Include? Descriptions for every line item within the budget. Justifications for expenses related to the proposal or grant application. Elaborations on how indirect costs were estimated. Detailed explanations for the more substantial costs.

The purpose of the Budget Narrative is to supplement the brief information provided in the Budget Request. It should justify how the budget items are necessary to implement the project goals and objectives, and to accomplish the proposed outcomes.