Freie Universität Berlin’s budget plan is generally set biannually and is based on the contracts concluded between state universities and Berlin’s government, in which specific funding amounts are set for a period of two years. This budget plan is divided into individual categories based on the purpose for which the money is to be used – different funds are reserved for different projects, making it difficult (if not impossible) to move money around should circumstances change. The budget cuts announced by the Berlin Senate refer exclusively to the state funds provided by the State of Berlin. Additional revenue or third-party funding that is used to finance projects or collaborations such as the Berlin University Alliance are unaffected by these cuts. So are the budget cuts really that bad? Unfortunately, yes. As explained above, state funds form the backbone of Freie Universität Berlin’s funding. The money the university receives from the State of Berlin is used to keep its basic structures running. This includes personnel costs, IT, rent, infrastructure, and much more. For example:

• Approx. 390 million euros for personnel costs (including student employees)
• Approx. 53 million euros for building maintenance and rent
• Approx. 63 million euros for construction projects (renovation works and new projects)
• Approx. 47 million euros for administrative expenditures (IT, operating costs, daily administrative costs, etc.)