Know what the numbers mean.
A project budget is easier to use when you can see what is defined, what is still being priced, and what you need to keep available for the unexpected.
Illustrative photography: Marmi Sica / Unsplash.
A current view of
the project’s costs.
“Financials” means the project’s cost and payment picture: the approved scope, pricing still being developed, selection allowances, changes, invoices, and payments.
A financial update brings those pieces together. Check its date, what it includes, and what remains estimated or undecided.
- Resolution’s project scope
The work and services included in the project documents, with their stated pricing basis.
- Selections & changes
Approved choices and scope adjustments, including their effect on cost.
- Owner-direct costs
Items you purchase or arrange separately need to be considered when planning your total investment, even when they are outside Resolution’s contract total.
Read the pricing basis.
- Planning budget
An early working figure based on the information available. Design, quantities, selections, engineering, and site information can change it.
- Fixed or set-cost work
A price for a defined scope under the project documents. The stated inclusions, exclusions, and change procedures matter.
- Estimated construction items
Work whose final price still depends on details such as layout, field verification, quantities, permit requirements, or trade pricing. It may increase or decrease as those details develop.
- Owner selection allowance
A budget placeholder for an item that has not been finally selected or priced. Check whether it covers material only, or also includes delivery, fabrication, installation, and applicable handling.
We review the pricing basis with you so the budget, proposal and selected scope can be understood together.
Resolve selections before construction.
Allowances can help develop the early budget. Fixture and finish selections must then be finalized and approved before construction begins. Reconcile those selections with the pricing and procurement plan. Product choices, quantities, fabrication and installation are reviewed together as pricing is finalized.
Review our construction readiness requirementsWhat is contingency?
A contingency is a separate reserve you maintain for unexpected or unknown work outside the priced scope.
We generally recommend a reserve equal to 20% of the approved project price, unless your project proposal states a different amount. The appropriate reserve is discussed in the context of your project.
- What might it help address?
Unforeseen conditions, such as concealed structural damage or unexpected conditions revealed during investigation or construction. Any resulting work and charges follow the applicable project procedures.
- How is it different from an allowance?
An allowance plans for a known category of selection. Contingency provides room for unknown work. Upgraded finishes, design changes, and developing trade scopes can affect the budget separately.
- Is it an extra fee or a cost cap?
The reserve stays with you until it is needed for approved work. We review a discovery, the proposed response and its cost with you before proceeding. Its size is considered alongside the risks and scope of the project.
- What happens if it is not needed?
Funds you retain in your own reserve remain yours. Amounts actually paid toward work, products, or allowances are handled separately under the project documents and applicable reconciliation procedures.
Questions worth asking.
How do allowances get finalized?
We confirm the product, quantity, delivery, fabrication and installation details, then compare the complete cost with the allowance. Any adjustment or credit is recorded with the project’s pricing information.
What happens when I change the scope?
Bring the request to your project manager. We review the effects on connected work, cost, purchasing and the schedule, then document the agreed change before carrying it out.
Why can different parts of a project have different payment schedules?
Different trades and products have different ordering and progress milestones. Your project documents bring those payment stages together so you can plan funding alongside the work.
What if I am using a lender or insurance proceeds?
Discuss the funding arrangement early so draw requirements, documentation and payment milestones can be coordinated. We help identify the construction information needed while you work with your lender or insurer on its release process.
Does the first estimate establish the final total?
It depends on the pricing basis stated in the proposal. A preliminary design-build estimate can include unresolved design, selections, quantities, and trade scopes. Ask which amounts are set, which are estimated, and which are allowances before comparing the early budget with a later total.
Your project financials and approved documents keep the current scope, pricing and payment information together.
Plan the complete investment.
Share your budget range and the work you want to accomplish. We will discuss planning costs, construction scope, selections, owner purchases and the reserve appropriate to your project. Book a 30-minute Google Meet consultation on an available Friday.
Start with a conversation.
Start by telling us about your project. If the next step involves investigation, detailed estimating or planning, we define the services and fees in a signed pre-agreement before that work begins.
Plan your project consultation