Event planners or event manager have a lot to juggle when it comes to planning, organizing, and producing an event. This includes handling and managing vendors, timelines, bosses, caterers, production teams, and last but not least, the all-important BUDGET.
You have to create one, then estimate your costs, and gasp — stay within the numbers. It might seem intimidating at first, but with a little practice, it’s actually pretty easy. After all, event planners are the kings and queens of negotiation. So managing a budget should be a piece of cake.
When planning an event, one of the most important factors to consider is the overall budget. It can be easy to go over budget if you’re not careful, so here are a few tips for keeping your event budget-friendly:
- Plan ahead
It’s important to start planning your event well in advance in order to give yourself plenty of time to budget accordingly. This way, you can figure out what areas you can save money on and what areas are more important to you.
- Set a projected budget, create an event budget template
It can be easy to get carried away when planning an event, the best practice is to be realistic about what you can afford vs actual cost. Set a total cost budget and stick to it as closely as possible.
- Consider your venue
As an event manager, the venue you choose can have a big impact on your budget. Choose a venue that is affordable and that fits your needs.
- Choose a date that is affordable
Be mindful of the date you choose for your event. Dates near holidays or major events can be more expensive than other dates.
- Use a spreadsheet or Google Sheets to track your expenses
Using a spreadsheet or Google Sheets to track your expenses can help you stay organized and keep your budget on track.
- Find affordable catering
Catering can be one of the most expensive aspects of an event. Find a caterer that offers affordable options without compromising on quality. Caterers from your past events would likely give you a better deal.
- Use affordable decorations
Decorations can add a lot of visual interest to an event, but they can also be expensive. Look for affordable decorations that will still create the look you want. Choose suppliers from your previous event for discounts.
- Have a BYOB event
If you’re looking to save money on drinks, consider hosting a BYOB event. This will help keep costs down.
- Keep the guest list small
The more attendees you have, the more expensive your event will be. Try to keep the guest list as small as possible without compromising the quality of your event plans.
- Use volunteers
Regardless of the type of event, if you’re looking for a way to save money on staffing, consider using volunteers. There are many great ways to use volunteers to help with your successful event.
Creating a Budget
These tips will help give you the confidence you need to create an organized and manage event budget.
- Use Excel or Google Sheets
Excel or Google Sheets is hands down better than any other program. Calculating complex numbers and staying organized has never been so easy.
- Include Every Detail
For an accurate budget, add line items for anything that might cost money — no matter how big or small.
- Estimate vs. Actual cost
Create “estimate” and “actual” columns, and fill in the actual numbers as you go. The estimated column will be a reference for you as you try to stay within your limits of the actual expense.
- Inflate Line Items
Pad each and every estimated cost. It’ll help avoid surprise costs like taxes, rush fees, and unexpected increases on your actual budget.
- Always a Misc. Line
In addition to padding estimates, add a Misc. line…and pad that. This always comes in handy for an emergency fund or contingency funds and day-of-event costs.
Typical Line Items
Even though each event is different, there are typical costs associated with the simplest or most lavish events. Try to envision expenses incurred from the start of planning to the end of an event. We’ve listed a few line items, as well as questions to ask, to assist in determining your estimates.
- Food and Beverage
Is there a required minimum to pay based on the number of guests?
Will alcohol be served?
How much staff do you need to pay?
Will you be providing the staff with uniforms?
Do you need to hire a band or DJ?
How long will they be performing?
Do you need to hire an A/V team?
Will you be providing airfare, bus, or hotel accommodations for guests or team members?
Will you need to hire a team to build displays, stages, or steps and repeats?
Does the event require a photographer or videographer?
Is there a fee associated with owning the footage or imagery after the event?
Do you need to rent an entire restaurant or hotel ballroom?
Does the venue charge insurance?
Do you need to hire security through the venue?
What are the 5 C’s of Event Management?
There are many facets to event management, but some key principles are essential no matter what the event. The 5Cs of event management are:
Good communication is essential for a successful event. Event planners must keep all stakeholders – from participants and sponsors to vendors and venue staff – updated on event planning progress and changes. Communicating early and often helps avoid any surprises or misunderstandings down the road.
Coordination between all event stakeholders is key for a smooth event. Event planners must work with vendors to create a timeline and plan for the delivery of all event materials and services. They must also work with the venue to arrange for space, setup, and takedown. And, of course, they must coordinate with participants to ensure everyone knows what they need to do and when.
No two events are the same, and each requires a unique approach. Event planners must be creative in their planning and execution to ensure each event is memorable and successful.
Event planning can be a stressful process, but it’s important to stay calm under pressure. Things will go wrong during an event, but a good event planner will have a plan B ready to go. Remaining calm and composed will help ensure any issues are dealt with swiftly and effectively.
5) Course Correction
Even the best-laid plans can go awry. Inevitably, something will happen during an event that wasn’t accounted for. Event planners must be prepared to make quick decisions and course corrections as needed to ensure the event runs smoothly.
Why is the Budget so important in Event Management?
When it comes to event management, budget is one of the most important aspects of the process. If you don’t have a realistic budget in place, your event is likely to fall apart – or at the very least, be plagued by financial issues throughout the planning process.
The budget is important for a number of reasons. First and foremost, it helps you stay on track financially. Without a budget, it can be easy to overspend on your event, which can lead to serious financial problems down the road.
Budgeting also helps you stay organized. By creating a budget and sticking to it, you can ensure that your event runs smoothly and stays on track. This is especially important if you’re working with a limited budget – if you’re not careful, you could quickly spend all of your money without accomplishing anything.
Finally, a budget is important because it helps you measure your success. By comparing your actual expenses to your budget, you can see how efficiently your event was run and where you may have made mistakes. This information can be invaluable when planning future events.