Friday 22 February 2019

Project budget template - Excel | Project Management

A project budget template is a document may use to estimating the cost of a project. Usually the budget template can be including details of all the costs which are require to calculate to successfully complete the project. Most of businesses are using this template to estimate financial needs and potential expenses for each step of the project.

The purpose of the project budget template is to provide a standard method to assist project manager in developing project cost estimates. It may be for the value and practical duration of a particular project at various intervals in the project life cycle.

Usually the practical budget timings can be priority to completion of organizational requirements. Even the priority to completion of functional specifications, and cost management.

Estimating and budgeting tasks

In recent years, project estimation for the projects by project managers and owners has moved from being an art form of the expressionist style (as described above), towards science based on industry- and company-specific metric data, risk factoring and statistical probability.
It is obvious that, as though previous project management experience, it can be tough to estimating & budgeting task for a project. Because it can be possible each project requirements, tasks, requirements etc. can be varying. Usually you have to estimate some requirements for the budgeting each task as:

  • Estimate task cost - This may help to budgeting for individual task.
  • Task Duration and its time requirements.
  • Work & unit’s estimation
  • Create cost and resources budgets for individuals
You have to remember that, proper upfront estimation of a project, along with re-estimation at appropriate break points and constant monitoring of events. As well circumstances that impact the current validity of existing project estimates. It may critical to the successful managing of the expectation of a project.

Things to be consider before project budget

Usually, when you are going to prepare budget for a project, you have to consider some things that may helpful to accurate budgeting for each activity and resources. Actually, the project budgeting depending on the project life cycle framework, which elements are as below:

Business requirements

When you are going to create budget section, you have to know what is scope of the business. Define what the under the business scope, what the business can do and what can't. Even, what really business requirements for the complete successful projects.

Functional Specifications

Actually this is option requirement for the business, because most of the functions can be include along with process requirements. But you can confirm with the developer team what they should design to improve for the overall quality requirement can be maintain. Even how ultimately customer satisfaction can influence that is increase.

Technical specifications

These usually include process diagrams, scenario diagrams, entity relationship diagrams etc. Actually this is one of the important requirement to ensure the process' outputs will be met the quality and customer requirements.

Project planning & project management

Project planning and project management typically includes the overseeing of the activities of a project, including scope definition, creation and management of project plans, status reporting, and costing and earned value calculations. Change control management, issue management, ongoing cost revision, staff planning and client expectation management are also typical components of this work effort.

Project budget template

Project budget template

How to use this template?

The idea with budget resources is that you can allocate project costs to each item (Process task) as per potential costs. Creating a budget in process is a five-step process:

  1. Create budget resources
  2. Assign the budget resources you created in the first step to the project summary tasks. Doing so ensures that your budget is applied to the entire project.
  3. Assign values to the budget resources.
  4. Align resources to their budget type.
  5. Group the resources and view the comparison

This is helpful tips that always will be helpful before the creating a project budget. So, let's see how to use this template for your business.

Usually the first step of the project budgeting is describing general information about the budget template. Such as project title, project name, date of preparation, project prepare by, project manager name etc.

Project budget estimation

Here in this section, you have to describe the cost of each column such labor cost, material cost, travel cost, other costs. The total cost for each task will be automatic calculate as sum of all the costs data.
This project budget estimate will be work to considering, or you have to provide each project task against provide each cost data.


Process task: Raw material testing process
Labor hours: 3 Hours
Labor Cost: $5.00/ hr. for 7 Labors and works for 3 hours = 21x 5 = $105.00
Material Cost: $5000.00
Travel Cost: $0.00
Other costs: $130.00
Total per task: $105.00 + $5000.00 + $130.00 = $5235.00

At the end of each task for the particular day, hours, month, you can calculate each task values. Even the total of the budget can be possible to vary, but you can estimate each task values as per your previous experience.

On the next stage, you can also manage the potential risks with the existing processes, you have to also provide or estimate the figure for each risk you identify and cost for the elimination.

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