The Nonprofit AI Almanac

Finance, budgeting and compliance

Draft a budget narrative

Explains each budget line in words a grant reviewer can follow.

Lower risk: public info only — Use the budget categories and proposed amounts for the grant; leave out salary details of named staff.

Please note: This site is only a guide to help people understand. Consult your IT, security and/or privacy department for clarification.

Before you start, gather

Copy [BUDGET LINES WITH AMOUNTS AND PURPOSES] from the approved grant budget. Use category totals rather than named staff salaries. Take [FUNDER NAME] and [PROJECT NAME] from the funder's guidelines.

Starter prompt

Write a budget narrative for a grant to [FUNDER NAME] for [PROJECT NAME]. Do not add budget lines, amounts or unit costs I did not list; where a purpose is unclear, write MISSING INFO instead of guessing. Here are the budget lines and what they cover: [BUDGET LINES WITH AMOUNTS AND PURPOSES]. For each, explain what the money is for and why the amount is reasonable. Plain, factual language.

Paste the prompt into your AI tool first, then replace the placeholders with your own details. Don't use real names of clients or donors.

Open an AI tool

You are leaving this guide. Copy the prompt first, then open a tool. The link goes to the website of the company named on each link, in a new tab. That company's terms and privacy policy apply there. Paste the prompt in, then replace the placeholders with your own details. Don't enter real names or confidential details.

Check the result

Ensure every amount matches your budget exactly and that the narrative follows the funder's rules on allowed costs.

What it might get wrong

An invented budget line. A rate or percentage you never gave. Amounts that do not add up to the total, such as fringe or indirect costs that appear without any basis.

Why AI makes things up