Description of Expenses

Use the following descriptions to input and calculate the dollar amounts for expenses.

Personnel Related Expenses

All full-time workers are eligible for fringe benefits at 30%. This must be added to the annual salary in the spreadsheet. Some workers will donate a percentage of their salary as an in-kind contribution. This should be subtracted from the projected budget amount. The proposed intervention will employ the following fulltime faculty:

• 1 full-time program director will earn $80.000 in annual salary. The director has agreed to donate 20% in-kind of the first-year salary during the start-up. Note: In the worksheet this line has been done for you as an example (in yellow).
• 1 fulltime nurse practitioner who will be a clinical supervisor will earn $69,000 in annual salary. They have agreed to donate 10% in-kind of the first-year salary during the start-up.
• The program will hire 3 full-time practical nurses will each earn $45,000. There will be no in-kind contributions, but their salary should be based on 6 months rather than a year because they will not be employed a full year.
• A part-time (.50 FTE) nutritionist at an annual salary of $62,000 will be hired to provide dietary and nutritional advice. There will not be any in-kind contribution for this position, but their salary should be based on 6 months rather than a year because they will not be employed a full year.
• A full-time plastic surgeon will be hired at an annual salary of $175,000. They have agreed to an in-kind contribution of 20% for the first year.
• A full-time bariatric specialist will be hired at an annual salary of $150,000. They have agreed to an in-kind contribution of 20% for the first year.
• A full-time administrate assistant at an annual salary of $33,000. There is no in-kind contribution, and this position will begin immediately and be paid for the full year due to the need for administrative support during implementation.

Medical Equipment & Supplies Expenses

The following items will be needed in year one. Existing medical equipment and the surgery suite are being contributed by the facility and are considered in-kind contributions and therefore not included in the budgeted amount but must be shown as ana item in the budget. These expenses include:

• Medical Examination Equipment ($50.000)

• Ambulatory Surgery Suite ($175,000)

• Medical Supplies ($87.000)

• Procedural Devices ($120,000)

Administrative, Technology and Other General Expenses

The program will convert existing clinical space so there are no space related expenses. The following expenses should be included in the budgeted amount.

• 6 tablet computers ($750 each)
• 2 professional printer, scanner fax machines ($650 each)
• office supplies ($250 per month for 6 months)
• 6 workstations ($ 1,100 each)
• monthly utilities ($120 per month for 6 months
• website creation and maintenance ($60 per month for 10 months)
• online and local marketing ($100 per month for 10 months)

Summary of Expenses Year 1

After completing each expense category, students will summarize all the projected expenses.

Description of Revenue and Funding

Use the following descriptions to input and calculate the dollar amounts for expenses.

The program director has used information from a similar practice to estimate revenue related to clinical procedures, consultations, and sales of supplements. The following are revenue projections:

• Nutritional & Dietary Services 7,000 consultations and evaluations at $350 for each consultation
• Plastic Surgery Consultations 25,000 consultations and evaluations at $500 for each consultation
• Clinical Procedures 35,000 procedures at $25,000 each
• Surgeries 7,000 procedures at $40,000 each
• Nutrition and Diet Supplements 2,500 in product sales $200 for each sale

Other Revenue Sources

Other sources of revenue sources to implement interventions include the bank loan for $250,000.

Bank Loam Principle borrowed is $250,000 with an interest rate of 3%

There is no other additional funding.

Budget Summary

To complete this section, students will calculate the surplus or deficit resulting from the proposed budget and select either deficit or surplus by placing an X under surplus or deficit.

Personnel Related ExpensesSalary FTEFringe @30% FTE + FringeIn-kind Contribution %In-kind Contibution AmountBudgeted Amount Year 1 Service Revenue# of Billable Procedures, services or productsEstimate Average Price per procedure Budgeted Amount Year 1 Program Director$ 80,000 1$ 24,000 $ 104,000 20%$ 20,800 $ 83,200 Nutritional & Dietary Services7,000 $ 350 Nurse Practitioner and Supervisor Plastic Surgery Consultations25,000 $ 500 Fulltime Practical Nurses Procedures35,000 $ 25,000 Nutrtionist Surgeries7,000 $ 40,000 Administrate Assistant Supplements2,500 $ 200 Plastic Surgeon Total Revenue from Services Bariatric & Weight Loss Specialist Other Revenue SourcesAmountIntersest Rate @ 3% Repayment Amount Total Personnel Bank Loan250,000$ 7,500.00 Grants Medical Equipment & Supplies ExpensesProjected Amount In-kind %Budgeted Amount Year 1 Total Revenue All Sources Medical Examination Equipment 100% Ambularoty Surgery Suite 100% $ - Medical Supplies 0% Budget Summary Procedural Devices 0% Total Projected Revenue Total Medical Supplies Total Projected Expenses Deficient or Surplus Administrative, Technology and Other General ExpensesNumber Unit Cost or Monthly CostBudgeted Amount Year 1 Tablet Computers YESNO Professional printer, scanner fax machines 2 Does the program have a deficit year 1 Office SuppliesN/A WorkstationsN/A Monthly Utilities N/A Website creation and maintenanceN/A Online and local marketingN/A Loan Payments (250,000 loan at 3% interest)N/A Total Administrative and Other General Expenses Summary of Expenses Year 1Budgeted Amount Year 1 Total Personnel Total Medical Supplies