Setting your HR budget for the new financial year

Preparing your budget for the new financial year - have you taken into consideration your HR needs?

A successful budget should always include one of your business's most important elements – human resources. Not only does a budget specify anticipated costs and expenditure, it provides a detailed financial map ensuring everyone on board is following in the right direction.

When compiling an HR budget, it should take into consideration financial information, performance results and budgeting from all departments.

An HR budget should include: 

Turnover rates and forecasting of new employees 

Does seasonal demand require casual workers? Agency costs / temp fees
 

  • New projects, more employees? 

  • New technologies and automation replacing workforce? Restructure / consultant fees  

Recruitment budget 

  • Agency fees 

  • Advertising costs
Incentive programmes / benefits

  • Monetary bonuses 
  • Reward schemes 

  • Health insurance 

  • Dental / vision compensation schemes 

  • Memberships (fitness, industry groups, networking groups etc) 

  • Pensions 

  • Profit sharing  

  • Long-term service awards 

  • Team building events 

  • Feedback surveys 
 Training and development 

  • Promotions / wage increases 

  • Bonuses 

  • In-house / external training courses and events 

  • Re-certification 

  • Registration 

  • Travel 

  • Accommodation 

  • Exam costs 

  • Performance appraisal systems (Psychometric Assessments) 
Payroll costs 

  • Salaries 

  • Payroll systems 

  • Accountant fees 
 Overtime 

  • More hours, more pay 

  • Public holidays, higher rates of pay?  

Strategic planning (data/consultants) 
 
HR databases
 
  • Online systems and maintenance 

  • Database updating 
Other 

  • Legal changes and implementation costs 

  • Medical costs 

Can we help? 

Here at EQ Consultants, we work with organisations at all stages, from new businesses needing to implement HR systems to established firms wanting to build better processes.  

Whatever stage it may be, we'll get to know you and your business before establishing an immediate and long-term workforce planning strategy, helping you to develop and implement effective processes within your HR budget. 

To get help with your HR, call (03) 366 4034 to discuss your requirements. 

EQ Consultants is a leading HR and Executive Recruitment Consultancy in New Zealand, providing solutions for businesses in Christchurch, Queenstown and Auckland.