To provide the many essential services that we all use, councils need money. Councils have to buy machines, vehicles, materials to build and maintain local roads, books for libraries, playground equipment, trees and plants.. It costs money to maintain parks and swimming pools. Councils must also pay staff, including administration staff, environmental officers, drivers, maintenance workers, youth workers, inspectors, engineers, planners and library staff.

Councils with large populations may have budgets worth millions of dollars every year. Smaller councils will have less money to spend. Some councils work cooperatively with neighbouring councils to share staff and resources.

Councils receive 3 main sources of income to provide services to their communities: rates, fees and fines, and grants and subsidies (from state and federal governments).