Hotel Budget Template

Once the structure is set, work through each month's expense budget. Use your prior year actuals as a baseline if you have them, or industry benchmarks if you're in the planning phase. Labor is usually the biggest budget exercise: enter headcount and average wages by department rather than guessing a lump sum. The template tracks labor as a percentage of departmental revenue so you can see immediately if your rooms labor ratio or F&B labor ratio is in line with where it should be. Fill in OTA commission rates for your major channels and the sheet deducts them from net room revenue automatically.

The hospitality industry uses a standardized accounting framework called USALI (Uniform System of Accounts for the Lodging Industry) for exactly this reason — it gives everyone a common structure for comparing departmental performance. A properly built hotel budget follows this structure: total operated departments (Rooms, F&B, Events, Spa, Other), undistributed expenses (Sales & Marketing, Property & Maintenance, Utilities, Admin & General), and fixed charges (Management Fees, Insurance, Depreciation). RevPAR — Revenue per Available Room — is the single most important top-line metric, and it only makes sense when paired with ADR and occupancy separately. A hotel running 90% occupancy at a low ADR is a different problem than one running 60% occupancy at a premium rate.