Sample Thrift Store Budget: 9 Expenses To Include

Opening a thrift store without a clear financial plan can be a recipe for disaster. If you don’t understand your costs, your store may struggle to keep its doors open. 

Thrift stores face unique budget considerations that traditional retailers don’t. You’re managing donated inventory, coordinating volunteer schedules, tracking donor relationships, and often supporting a nonprofit mission — all while keeping prices as affordable as possible. Relying on a generic retail budget can cause you to overlook key expenses. 

This blog provides a comprehensive breakdown of the expenses to include in your sample thrift store budget. From rent and staffing to point of sale (POS) systems and donation management, we’ll walk through each cost category using real numbers and practical insights.

Let’s get started.

How To Build Your Sample Thrift Store Budget

A detailed budget is critical for any business. You need to know where every dollar goes to make the right decisions as you grow your store. Before diving into this thrift store budget guide, it’s important to establish a few basics. 

First, you need to understand the difference between your startup and operating expenses. Startup costs are one-time expenses, such as renovations, initial inventory, and equipment purchases. Retail operating costs refer to your month-to-month expenses, including rent, utilities, payroll, and software subscriptions. When setting your thrift store budget, you need to account for both.

Aside from helping you make better decisions, a solid budget also helps build credibility. If you apply for grants or need approval from a nonprofit board, a well-prepared budget shows stakeholders that you’re organized, accountable, and financially responsible.  

Remember: The exact dollar amounts in your budget will vary based on your store and circumstances. Location and size are critical factors. A large thrift store in downtown Seattle can have radically different costs than a small operation in rural Iowa. 

Your nonprofit or for-profit status also shapes your budget. Nonprofits often rely on volunteer labor and donated inventory, while for-profit stores may invest more in purchased inventory and competitive wages.

The bottom line is that this sample thrift store budget is just that — a sample. There’s no cookie-cutter template that applies equally to all thrift stores, so keep that in mind as you review the details below. 

1. Rent and Facility Costs

The first line item to include in your budget is your store’s location. Account for both startup and ongoing costs related to rent and facilities, which are often among your largest fixed expenses. For example, if your rent is $900 per month, expect to pay about $2,700 upfront. Many landlords require the first month’s rent plus a security deposit, typically equal to one or two months’ rent.

Property insurance is another facility-related expense to include. Rates vary based on your store’s size and location, but plan to set aside at least $200–$400 per month for general liability coverage.

Factor in the cost of fixtures and displays at this stage as well. Budget for shelving, clothing racks, and other merchandising essentials. Investing in flexible options makes it easier to reconfigure your store over time without needing to buy new fixtures. 

Pro tip: Negotiate lease terms that give you flexibility. Some landlords offer tenant improvement allowances or flexible agreements that help you manage long-term costs without breaking your budget.

Related Read: Business Insurance for Thrift Stores: 5 Best Providers

2. Utilities and Building Maintenance

Plan for both startup and ongoing expenses related to utilities and building maintenance. For startup costs, include utility deposits of about $100 per service, covering electricity, gas, water, and internet.

Monthly utility bills are another regular operating expense. Costs fluctuate based on store size and climate, so budget conservatively and track usage patterns season by season. This approach helps ensure you have enough funds to cover summer air conditioning or winter heating spikes. 

Budget for general facility upkeep and maintenance, too. These costs include repairs, HVAC servicing, and cleaning or janitorial services. Small stores may spend a few hundred dollars per month on utilities and maintenance, while larger operations may spend several thousand.

3. Labor and Staffing Expenses

Labor and staffing represent a major cost for any thrift store. If you’re planning to hire a full team, remember that store managers and assistant managers often earn salaries, while sales associates and intake specialists earn hourly wages. 

Nonprofit thrift stores often rely on volunteers for much of their staffing. Even so, budget for a volunteer coordinator to recruit, schedule, and manage your volunteers, along with a paid store manager to keep things running smoothly.

Don’t forget payroll taxes and benefits, including Social Security, Medicare, unemployment insurance, and any health coverage or paid time off you provide. These costs typically add 20–30% to your base payroll.

4. POS Software and Hardware

To prevent daily technical difficulties, invest in the right technology to run your business. Your POS system is the most important tool in your toolkit, handling transactions, inventory, and sales reporting. The right solution can also support donation intake, scheduling, and marketing automation. 

When budgeting for your POS, include both the monthly software subscription and upfront hardware costs, such as terminals, receipt printers, and barcode scanners. 

Credit card processing fees are another important consideration. Expect 1.5–3.5% per transaction. These fees add up quickly, so shop around for competitive rates that keep more profit in your pocket.

5. Inventory and Donation Management Costs

Unlike traditional retail, thrift stores rely almost entirely on donated inventory. The stock is free, but managing donations still requires time and money.

You need reliable transportation if you offer donation pickups. That means budgeting for fuel, regular maintenance, insurance, and a vehicle large enough to carry furniture and bulk items. 

Storage costs also deserve consideration. Invest in a climate-controlled space and organized shelving for overflow inventory that doesn’t fit on your sales floor. 

6. Marketing and Advertising Expenses

Bringing customers through your thrift store’s doors requires consistent marketing and investment. If you haven’t launched your business yet, budget for a grand opening to generate buzz around your store. Then plan for ongoing local advertising to maintain momentum. 

A website is essential for credibility and online discoverability. Hosting fees range from a few hundred dollars a year to several hundred dollars per month, depending on your site size and features. 

Other marketing opportunities include community event sponsorships, workshops and in-store events, and partnerships with local businesses. Track what works over time and double down on the efforts that get results. 

7. Security Systems and Loss Prevention

Protecting your inventory and creating a safe shopping environment requires an investment in security systems. A basic surveillance and alarm setup typically costs a few thousand dollars upfront, plus monthly monitoring fees. You may also consider cameras or sensors for high-value merchandise. 

Larger stores or those in high-risk areas often require security personnel during busy hours. Adding staff increases labor costs for your store, but it goes a long way toward reducing theft and helping your customers feel safe. 

Related Read: Loss Prevention Strategies for Thrift Stores: 8 Tips & Tools

8. Professional Services and Fees

Running a thrift store — especially a nonprofit — requires expert help. Consider these professional services for your thrift store:

• Accounting and bookkeeping: Accountants handle payroll processing, tax preparation, financial reporting, and compliance with nonprofit regulations.
• Legal services: Fees cover contract reviews, lease negotiations, employment matters, and business structure questions. 
• Consulting services: Consultants provide specialized expertise in areas like fundraising, marketing strategy, or operational efficiency. 

These services can be pricey, but they’re often worthwhile investments to get things right the first time.

9. Miscellaneous Operating Expenses

It’s important to set aside a budget for miscellaneous expenses. Small costs add up quickly, so create a catch-all category for items such as office supplies, break-room essentials, licenses and permits, merchant fees, and ad hoc software subscriptions, like accounting tools. 

Build a contingency fund of 5–10% of your total budget to cover these expenses. This fund can also handle unexpected expenses, like equipment breakdowns, emergency repairs, or sudden opportunities that require immediate investment.

Sample Thrift Store Budget Breakdown

Note: These ranges are not meant to serve as a complete guide for all thrift stores. They represent typical monthly operating expenses and vary based on your store’s specific needs. They’re separate from other ongoing monthly expenses.

Create Your Sample Thrift Store Budget With the Right Tools

A well-planned budget is critical for any successful thrift store. Following the expenses and tips in this blog gives you the foundation to create a realistic, actionable budget for your operation. 

One of the most important upfront and ongoing investments is a tool that pays for itself over time. The right POS system helps you run a smooth, streamlined business and provides the data and time you need to better support your mission. 

ThriftCart is a POS platform designed specifically for thrift store operations. It offers the features needed to keep your store running efficiently, from tracking donation intake and inventory management to color-tag discounts. 

Ready to see how ThriftCart can help you manage your thrift store budget more effectively? Use our Build and Price tool to create your ideal solution today.