Be Project Specific (Score 1)

As an IT Director for a small non-profit, I've always focused my budget around specific projects. Not just projects the IT department is calling for, but other departments as well. Part of the trick here is forecasting what how your users are going to push your infrastructure, or what projects may call for new software or outside consultation. This may call for breaking down some silos in your company. Also build in some emergency money in case a last minute situation arises. Build a theoretical project and determine it's budget. Also, any money that you get this year for your budget, make sure you have at least that much for your budget next year... or you'll never get it back in the future.