University of Central Florida
Theme for Module 2
The Savvy School Leader Uses Technology
For Effectively Managing His or Her School
Budget
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Technology and Budget
This modules goals are:
 To review several terms that are common in
conversations regarding planning for
technology integration.

To become aware of the expectations under
NCLB for technology integration in our schools

To gain experience in using Excel technology in
creating a principals budget.
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
To review the five ways in which the savvy
school leader uses technology to enhance his
or her capacity as a leader.

To gain knowledge and experience on how
savvy school principals use technology to
create, manage and forecast using their
school budget.
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Leadership Quotation
“Not everything that can be counted counts, and
not everything that counts can be counted.”
Albert Einstein
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Reflection Activity
Take a minute to review the quotation by Albert
Einstein on the previous slide.
Write down what you believe Albert Einstein is
communicating to each of you as school leaders.
Use a maximum of 5 sentences for your
reflection.
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Learning the
Language of Technology
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The Language of Technology
Baseball has its own language.
Fishing has its own language.
Golf has its own language.
Just as different sports and activities have their
own language… technology has its own language!
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The Language of
Technology
The savvy school leader
knows that
technology has its own
language.
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The Language of Technology


As a Savvy School Leader it is important that a
we have a working knowledge of the language
of technology.
As teachers, parents, tech directors, and even
students enter into a conversation with you on
topic or issue related to technology, it is a
benefit to be able to speak the language.
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Language of Technology
Activity


Define the vocabulary words listed below.
After each definition, compose a few lines as if in a
conversation with a teacher, parent, tech director, or student
at your school regarding a technology issue.
 Pentium
 Hertz
 Megabytes
 Gigabytes
 Phising
 Default
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No Child Left Behind (NCLB) legislation lists the
following as primary goals for schools in regard to
technology integration:




To improve student achievement through the use of
technology in elementary and secondary schools.
To have students graduate eighth grade
technologically literate.
To integrate technology effectively into teacher training
and curriculum development.
To align technology integration with state standards.
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Review
The savvy school leader uses technology to expa1
n their leadership capacity in five very important
ways.
1.
2.
3.
4.
5.
Developing his or her school budget.
Creating a Professional Learning Community in his or her
school
Enhancing learning opportunities for students
Providing effective, efficient, and relevant professional
development for faculty and staff
Analyzing data for school wide planning and decision
making
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Developing the School Budget
Using Excel Spread Sheet
Technology
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


Planning efforts and decision
making needs, including
budget development, are to
be based on the school’s
mission.
As with all other decisions
and planning, the school
budget should be developed
with the school’s mission as
a guide.
The principals budget
translates the school’s
mission into numerical
terms.
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 The savvy school leader
focuses his or her budget
on a specific list of
priorities.
 The school budget should
be developed according to
a pre-established list of
priorities.
 The instructional program
needs to drive the
development of the school
budget, not the other way
around.
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

The school budget should be considered a planning
tool, not just a routine for keeping tract of
expenditures.
Lundenburg & Irby in their Book The Principalship,
use the term “school based budgeting” when
describing the principals budget.
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
Lundenburg & Irby
say that the schoolbased budget helps
the principal to use
their budget as an
operating guide
toward the goal of
implementing their
school’s educational
plan.
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

What are the
categories in a typical
school budget?
The following areas
and terms are
involved in
developing a school
budget:







6260 Module 2
Budget
Appropriations
Appropriation
Adjustments
Adjusted Budget
Appropriations
Spent to Date
Encumbrances to Date
Budget Balance
Fund Balance
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Uniform System of Account Codes In a Typical
School Budget
Code







2110.120
2110.130
2110.131
2110.200
2110.400
2110.450
2110.452
Account
Instructional Salaries
Non-Instructional Salaries
Substitute Teachers
Equipment
Contractual Expense
Supplies & Materials
Textbooks
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The savvy school leader needs to be able to use his or
her budget to:
 Plan school programs and activities
 Closely
monitor expenditures
 Forecast
planned expenditures for future years
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

•
•
•
A typical school budget scenario is included
under the assignments section.
The assignment section also includes:
An Excel spread sheet
A list of definitions of school budget terms
A list of the formulas to be used in the budget
development process
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


School districts across the nation use Encumbrance
Accounting in developing school budgets.
This form of budget development takes into account
not only what is spent, but what is expected to be spent
sometime during the school year.
This is similar to an individual taking into account only
their checking account balance, but not the amount
owed on their credit card, or obligated to pay for
mortgage, taxes, car payment, and utility bills in
determining their available funds. They really don’t
know exactly what their available funds are.
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

Through Encumbrance Accounting both the school
leader and homeowner continually know exactly
what funds they have available
that have not been spent, or they will be expected
to spend during the year.
Through Encumbrance Accounting you know
right now and at any time during the year, what
you will be expected to spend something during
the year and will give you and idea, also at any
time, what funds you really have available. (ie:
principals salary or mortgage)
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

The amount to be encumbered will change as
you order supplies, equipment, hire substitute
teachers, or hire new staff, or even not fill staff
vacancies.
The Budget Balance only tells the school leader
the difference between what they started with
minus what has been spent to date. This does
not show the school leader the whole picture of
their school’s financial health.
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


For the savvy school leader, one of the most
important tools of the budget process is the Fund
Balance.
The Fund Balance keeps the school leader
continually informed of the funds completely
available, not spent or expected to be spent
sometime during the school year.
Example, the full salary of the principal should be
fully encumbered, as it is expected to be fully spent
sometime during the school year.
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


Known salaries and other budget categories as:
supplies, equipment, travel, substitute teachers, are
treated differently in the fund balance calculation.
Since the salaries are known, the full amount is
encumbered (Encumbrances to Date).This is
because you are obligated, right now, to spend
these amounts.
Since the areas such as: supplies, equipment,
travel, substitute teachers are not known at this
time, only the amount actually ordered or owed is
encumbered.
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

The formula for determining the Fund Balance
for known salaries is by subtracting the amount
encumbered from the budget appropriation.
The formula for determining the Fund Balance
for categories other that known salaries is by
subtracting both the amount spent to date and
the amount encumbered from the budget
appropriation.

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

The Appropriation Adjustments and Adjusted
Budget Appropriations columns are used in the
event budget transfers need to be made.
It is common, during the school year, that
funds need to be transferred between budget
categories. This happens when the either the
Budget Balance or Fund Balance is over spent.
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

A budget transfer is made by subtracting an
amount from one category and adding the
same amount to another category. This is
accomplished to bring the deficit balance to a
positive balance in one or more codes.
The balance of the Appropriation Adjustments
column is zero, as the amounts involved in the
transfer balance each other out.
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
If the Fund Balance for Substitute Teachers is
overspent by $1,000, and we decide to take the
funds from the Assistant Principal category.
The budget transfer in the Appropriation
Adjustments column looks like this –
1,000 in the Substitute Teacher column
(1,000) in the Assistant Principal column- The
parenthesis is used to indicate that you want to
subtract the amount.
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


Whenever a budget transfer takes place it changes the
original budget appropriation.
The new budget appropriation is recorded in the Adjusted
Budget Appropriations column
The Adjusted Budget Appropriations column would look
like this –
Assistant Principal C12+D12
Substitute Teachers C19+D19
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



The new Budget Balance for Assistant Principal
would be calculated – E12-F12
The new Fund Balance for Assistant Principal
would be calculated – E12-G12
The Budget Balance for Substitute Teachers would
be E19-F19
The new Fund Balance for Substitute Teachers
would be E19-F19-G19
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Note: This assignment does not ask you to make
budget transfers. This will be an
assignment under Module 5.
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

You may want to use the principles of
encumbrance accounting and excel spread
sheet technology in developing a home budget.
This will help you understand the great tool it
is in continually knowing what funds you
“really” have available, to use in predicting
future years home budgets.
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Opportunity for Professional Self-Reflection:
How does my knowledge of the use of
technology in day-to-day budgeting impact
my ability to budget as a future savvy school
leader?
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