Building your project budget (fee)

Project pricing/budget options

When creating a budget you are able to build it with different levels of granularity. The simplest way is to set a fee for each budget line within your project (Top - Down), but you can also build the pricing basing it on hours and rates (Bottom - Up).

Every pricing options contain a concept of a budget - a phase of a project that has specific fee or price associated with it e.g. ‘Phase 1, Phase 2’ or ‘Discovery, Analysis, Development’.

Explore the different pricing options for budgets:

Top-Down setting fees against the budget
Bottom-Up using using the combined total of each timecode’s fees within that budget (only available for Time-based budgets)

Bottom-Up Budgets can contain these types of timecodes:

Top-Down Timecodes - setting fees against timecodes
Bottom-Up Timecodes - using hours and rates per placeholder/person, per timecode

Top-Down Budget

Create a budget for each phase/budget line you want to track. You will need to create separate budgets for time (effort worked) and expenses (e.g. licenses, hosting fees, travel costs).
Assign a financial amount to each budget.
Create as many timecodes as needed within each time budget.

This option is great for Project Managers who don't need to tightly plan and track work at a granular level.

Top-Down Timecode

Create a budget for each phase/budget line you want to track. You will need to create separate budgets for time and expenses.
Within each time budget create as many timecodes as needed and assign these a dollar amount.
The sum of these are your budget amounts.
In this mode only expense budgets are assigned a dollar amount

This option gives Project Managers more granularity. It is recommended if you split your budgets into smaller breakdowns of work and want to track this.

Bottom-Up Timecode

Create a budget for each 'chunk' of work you want to track. You will need to create separate budgets for time and expenses.
Within each time budget create as many timecodes as needed
Within each timecode assign roles with the number of hours and billable rate (e.g. Senior Consultant for 100hr x $150 per hr). This calculates the dollar fee for each timecode. The sum of these are your budget amounts.
Everything is “bottom-up” so any changes you make will impact the timecode and budget amounts.
In this mode only expense budgets are assigned a dollar amount

This option is great for Project Managers who want to track their projects at a granular level and/or by the hour.

Reordering Budgets

Once you have set up your budgets, you can reorder them. This allows more flexibility in the way the budgets are displayed, especially if they are not entered in to Projectworks sequentially or additional budgets are added after the project has already kicked off.

The budget lines will be defaulted to this order in other parts of the system that use budget information, such as the forecast screens or when creating invoices screen or quotes.