A budget is financial part of a project.
It is a place where you define what services you offer to a client and for what price.
People working on a project track their time against services defined in a budget.
You add discounts and track expenses you might have on a project (you hired a contractor, bought licenses or storage space).
Once a budget is closed, you create invoices and send them to a client.
Once you have all this financial data in place, a budget gives you an insight into:
- how many hours were spent
- how many hours were estimated
- how many hours were billable
- what's the revenue
- how much cost has occured
- what does the profit look like
If you take a look at a Financials tab in a project, where you have a list of all the budgets for this project, you can see a financial summary for open (budgets you're still working on) and delivered (the work is done and can be invoiced) budgets.
- total revenue
- total profit
- profit margin
- total time people tracked on the budget
- total billable time
- average rate