Here is a basic guideline to help you reminder some important things when estimating a Project Budget.
What's a Project Budget ? The total "projected" costs to complete a project during a specific period of time with a specific result.
Those costs can go from the little details to the global scope of the project. It includes :
- Direct (Wages, etc) + Indirect Costs (Taxes, Management, Administration, etc)
- Fixed (Rent, Equipment) + Variable Costs (Wages)
- Labor + Material
- Equipment + Space
Now this seems easier said than done. But don't worry, there are several ways to go in order to work it through.
Here are some quick tips that will help you build an estimation of a Project Budget.
- Use Historical Data, check how things were done in the past and
- Learn from the mistakes
- Ask experts, like your team members and your stakeholders
- Update your estimation in Real Time, as the project progress, so you won't miss any detail
- Avoid deviation from the original plan. But don't forget to embrace change if the client requests it.