Budgeting Essentials For Residential Construction Projects By Mark Mariani Armonk

Every residential construction project has a budget and it may be mandatory, voluntary, or a combination of both and in any case, having an accurate budget will help you avoid overspending on the project.
Understanding Your Budget
A budget is a plan for a specified period of time, usually a financial year and it allows you to set out how much money you have and what you want to spend it on.
A budget helps you control spending by making sure that all the costs are included in one place so that they can be easily tracked, rather than spread across several invoices or receipts.
Mark Mariani Armonk A good way of understanding how your budget works is by thinking about it like this: If we imagine our company as being made up of three people, then everyone gets paid exactly the same amount every month, say $1 million per person per month.
Now let’s say we each have different expenses. Some might need more clothing than others; some might need more food or shelter than others; some might drive their own cars while others prefer public transport.
You could argue that everyone should get exactly what they need because who knows better than yourself what exactly goes into living day-to-day? However if we were able to divide up all these monthly expenses evenly amongst ourselves without fail then there wouldn’t be any waste because every dollar spent would go towards fulfilling some sorta need within society.
Setting A Voluntary Budget
A voluntary budget per se by Mark Mariani Armonk is a set of costs and expenses that you want to incur during your construction project. It’s important to note that these are not mandatory, but rather voluntary amounts you plan on spending in order to complete your project with the highest quality materials and labor.
Setting a voluntary budget helps you stay within your overall financial goals while still being able to enjoy the benefits of higher-end materials when they make sense for your project.