To actively manage your budget over the lifetime of a project.
It's important to actively manage the budget to ensure that all cost projections are both accurate and consistent. It's common for the person in charge of managing a project's budget (e.g. Accountant or Project Manager) to provide a detailed report on a weekly/monthly basis that clearly accounts for all billable and projected costs where one of the key data metrics is explaining the forecasted total cost to completion.
One of the key features in the Budget tool is the "Forecast to Complete" column, which allows you to more accurately estimate the Projected Over/Under for each line item in the budget, so that the total estimated cost at completion is both accurate and consistent with previous weekly/monthly projections. You can either have the column automatically calculate the remaining costs based on the difference between "Projected Budget" and "Projected Costs" in order to maintain a net zero ($0) Over/Under value for each budget line item, or you can manually add items and amounts to define a more realistic forecasting number based upon key job insights. Additionally, you can also record a helpful note that documents the reasoning for the forecasted value for each budget line item.
Follow the steps below to the auto-populate the "Forecast to Complete" column with the difference between "Projected Budget" and "Projected Costs" in order to maintain a $0 Over/Under value for each line item.
Follow the steps below to manually create line items for the "Forecast to Complete" column.
Users with 'admin' permissions on the Budget tool can configure default behavior for the "Forecast to Complete" column. By default, any new projects are configured to autocalculate the column. However, if you are using a project template to create new projects, you must set your forecasting preference in the template itself because a template's settings take precedence over a tool's default settings.