About budgeting percent complete and percent of cost

You budget projects that you bill as Percent Complete and Percent of Construction Cost by using the top-down budgeting method.

You enter contract amounts and then distribute those amounts down to the lowest level of your budget. You distribute your budget amounts, as done in the following example, by using the icon located in the % Dist column.

Example

You have a project billed as Percent of Construction Cost.

Total cost of construction	750,000,000
Contract budget for project	10%
Total cost of construction	750,000

Of your project total:

• 700,000 is labor.
• 50,000 is for consultants.

You now want to enter these amounts and distribute them down to the lowest level of your budget.

1. On the row for the project, enter a construction cost amount for 7,500,000.
2. In the % of CC (percent of construction cost) column, enter 10%. Ajera then enters a contract amount of 750,000.
3. To allocate part of this contract amount for labor and part for consultant, in the Contract column, click the down arrow to show rows for the activity type (Labor, Expense, and Consultant).
4. On the row for Labor Total, enter 700,000. On the row for Consultant Total, enter 50,000.
5. For each phase directly under the project, in the % Dist column, enter a percentage of the total project amount that applies to this phase.

Note:

The total of the percentages you enter for the phases must equal 100%. Similarly, if you enter percentages for the lower levels of each phase, they must equal 100%.

6. You are now ready to distribute the contract amount down to the phases. Click the icon in the % Dist column on the project row.
7. Ajera enters amounts for each item in the Contract column.