Budget Overview

NavigationManagement, Budget

Comparing time and expense charges against project budget amounts and hours helps you gauge progress and identify issues for immediate management attention. After the fact analysis of actual-to-budget results helps improve operations, employee skill-sets, fee structures and other aspects of the profitable delivery of services to clients. The total budget amount can become the contract amount, against which management monitors the burn rate.

Before creating a budget, consider the following points:

• Discuss it with your team members. Get their estimated hours and units.
  
• Research similar job or project costs in the industry.
  
• Add anticipated expenses to the budget.
  
• Add a contingency to the budget.
  
• Share the budget with the client and make it a part of the contract.