Not all projects have their budgets established the same way. Projectworks offers three different methods for setting the fees/budgets for projects.
Project pricing options
When creating a project you are able to build your budget with different levels of granularity. In it's most simple, set a fee for each phase/budget line within your project, or at the most granular build it from the "bottom up" by based on hours and rates.
Explore the different pricing options:
- "Top Down" setting fees against budget lines
- Set fees against timecodes
- "Bottom up" using hours and rates per role, per timecode
"Top down" Budget-level - Fee-based pricing
- 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 line.
- 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.
Timecode level - Fee-based pricing
- 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 level - Hourly-based pricing (hours x rate)
- 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.