Start with the total investment, not the line items
Most planners build a budget by listing every item they can think of and totalling up. The better method is to start with the client's total budget and work backwards — allocating percentages to each category based on the event type. This prevents scope creep and gives you a clear constraint to work within from the start.
Typical budget allocation by event type (India, 2026)
| Category | Wedding | Corporate | Conference |
|---|---|---|---|
| Venue | 25–30% | 20–25% | 30–35% |
| Catering | 30–35% | 25–30% | 20–25% |
| Decor & Design | 15–20% | 10–15% | 5–10% |
| AV & Tech | 5–8% | 10–15% | 15–20% |
| Photography | 8–12% | 5–8% | 3–5% |
| Entertainment | 5–10% | 5–10% | 2–5% |
| Planner fee | 8–15% | 8–12% | 8–12% |
| Contingency | 5% | 5% | 5% |
These are starting ranges. Specific quotes will pull you away from averages in either direction.
The 5% contingency rule
Always build 5% of the total budget as a named contingency line. This is not a slush fund — it exists to cover last-minute changes (a generator failure, additional staff, an unexpected permit fee). When you present the budget, name it "Contingency" and explain that unspent contingency is returned to the client. This builds trust rather than making the client feel you are padding the budget.
Handling GST in the budget
Present two budget views to clients: ex-GST and total including GST. Many clients focus on the ex-GST number and are surprised by the total. Presenting both upfront eliminates this confusion. For corporate clients with GST registration, note that they may be eligible to claim input tax credit on registered vendor invoices.
When and how to revise a budget
A budget revision is unavoidable if: the client changes the guest count by more than 10%, the event date shifts, or a key vendor drops out. Issue a revised budget document with a clear change log — what changed, why, and the new total. Never revise verbally; it creates disputes. Every budget change should be signed off in writing before procurement begins.
Payment schedules that protect you
Standard payment milestones: 25–30% retainer on signing, 50% at T-30 days, balance 5 days before the event. Never go to event day with unpaid balance outstanding — if a client misses the final milestone, pause procurement and do not confirm vendors until payment is received. This is a business policy that must be in your contract.