A budget is a statement of the amount of money that is available to spend over a period of time, or on a specific thing, such as a building. It may include an outline plan for how that money will be spent, and a breakdown of the items it will be spent on.
Budgets help determine what is affordable and should be set as early as possible. It is important that they are based on evidence and that they are realistic.
A budget can be established by:
- Assessment of projected income and expenses through the life of the project.
- Comparison with similar projects.
- Assessment of the funds available.
- Pre-design analysis of requirements.
- Analysis of preliminary design options.
The client's total project budget may include:
- The construction cost.
- Land or property acquisition.
- Approvals fees.
- Planning costs (Section 106 Agreement or Community Infrastructure Levy).
- Financing costs.
- Site investigations.
- Fixtures, fittings and equipment.
- The cost of decanting and relocating, including costs associated with moving staff.
- Contracts outside of the main works.
- Consultant fees.
 Related articles on Designing Buildings Wiki
- Approximate quantities cost plan.
- Best value.
- Bills of quantities.
- Business administration.
- Business plan.
- Capital allowances.
- Capital costs.
- Commercial management.
- Construction loan.
- Construction organisations and strategy.
- Contract sum.
- Contract sum analysis.
- Cost consultant.
- Cost control.
- Elemental cost plan
- Final account.
- Initial cost appraisals.
- Net Present Value.
- New Rules of Measurement.
- Outturn cost.
- Pre-tender estimate.
- Tender pricing document.
- Working capital.
- Whole-life costs.
Featured articles and news
MVRDV reveal designs for a strange holiday villa in Taiwan.
New milestone achieved with launch of new safety lanyard for working from height.
A quick introductory article about preliminaries in construction.
Brandenburg Gate - an historic structure that went from symbolising German partition to European unity.
A discussion between construction key players and leading insurers on the future outlook for construction insurance.
New guide from BSRIA on building performance evaluation in domestic buildings.
Rogers Stirk Harbour and Partners complete new trio of towers at Sydney Harbour.
With a new government consultation underway, ICE look at creating a smarter, more flexible energy system.
International Ethics Standards Coalition publishes first set of ethics principles for built environment professionals.
British Antarctic Survey announces research station is to relocate 23km due to growing crack in the ice shelf.
A great example of mimetic architecture with the Fish Building of India.