Overview
If you are using an Owner's Rep workspace type, you can prepare an Owner Budget and a Your Budget. These budgets serve different purposes, and understanding their distinction is crucial for managing your projects effectively.
Owner Budget: The project-wide budget used to manage all expenses for the Owner.
Your Budget: An optional budget to track the costs of services you provide as the Owner's Representative.
Prerequisites
To use these budgets effectively:
Ensure your budget(s) are configured using a company Project Cost Codes template.
Templates should be set up by your workspace Administrators.
Process
When using an Owner's Rep workspace, you'll see a dropdown menu in the Master Project Budget that allows you to toggle between Owner Budget and Your Budget.
Owner Budget
The Owner Budget refers to the entire project’s budget. It includes all contracts and expenses managed by the Owner, such as construction, vendor payments, and project management costs.
Who uses it? Most projects managed in INGENIOUS rely primarily on the Owner Budget.
Purpose: Tracks all project-wide expenses, including contracts for which the Owner is the contract holder.
Your Budget
The Your Budget tracks costs related to your specific scope of services as the Owner’s Rep.
Who uses it? Owner’s Reps who directly hire consultants or manage internal project costs.
Purpose: Monitors your scope of work costs separately, such as hiring consultants for $75,000 within a $200,000 management contract.
Agreement Types
Your agreement type determines which budget is used:
Advisory or Agency Agreements:
Vendor contracts are between the Owner and vendors.
Both vendor contracts and your contract are tracked on the Owner Budget.
Example: If your contract with the Owner is $200,000 for project management, it will be reflected in the Owner Budget.
Principal Agreements:
The Owner hires you to deliver the entire project scope.
Vendor contracts are between you and the vendors, tracked under Your Budget.
Example: If your contract with the Owner is $10,000,000 for turnkey delivery, vendor contracts (e.g., general contractors) will appear in Your Budget.
Key Takeaway
Owner Budget: Tracks all project-wide expenses.
Your Budget: Tracks costs specific to your services as the Owner’s Rep.
Agreement type determines budget usage:
Owner as contract holder → Owner Budget.
Owner’s Rep as contract holder → Your Budget.