| # To use a time-phased budget A time phased budget (TPB) is a time-scaled budget based on activities, created from a top down budget. First of all, create a top down version for your project. With more than one version you can keep track of changes in the top down budget. The version amounts for the budget, that need to be defined, are: The version contract amount. The profit fee. The management reserve. The following formula applies to the version contract amount: Version contract amount = profit fee + management reserve + distributed amount If the status of the budget version is Actual, you can enter the budget start time for calculation. You can change the version status from Free to Actual only if: Other versions have another status than Actual. The status of the project is Free or Active. To support multicurrency time-phased budgets, specify the budget date, to fix the date for the currency transaction rates. For a time-phased budget, you must distribute amounts over the activities, link them to the version and enter earned value related data, (see To use distributed amounts). You can also copy a bottom up budget into a top down budget, the budget amount is then available as distributed amount for the version. With the Generate Structure and Top Down Budget (tpptc5210m000) session you can link activities to a top down budget version in one go. This optional session can only be used if there is no budget assigned to the version, yet. After running this session, each activity needs a budget amount. This budget can be derived from the bottom up activity budget, if the Copy Including Activity Budget Lines check box is selected, otherwise the budget amounts are zero and must be entered manually. Generate the time phased budget with the Generate Time Phased Budget (tpptc5200m000) session, you can generate the TPB analysis code or create the code manually in the Time Phased Budget Analysis Codes by Project (tpptc5120s000) session. The analysis code is a combination of a version, an exchange-rate type, and a baseline. In the Time Phased Budget (Budgeted Costs Of Work Scheduled by Period) (tpptc5521m000) session the time phased budget is displayed as the budgeted cost work scheduled. To monitor the time phased budget you can use the following data: Progress. Actuals. Forecast. Run the Generate Performance Measurement (tpppc5200m000) session and compare the costs with the progress and the budget. Compare the budgeted cost work scheduled (BCWS) with the budgeted cost work performed (BCWP), the variance is the ( schedule variance) (SV). Compare the budgeted cost work performed (BCWP) and the actual cost work performed (ACWP), the variance is the cost variance (CV). Compare the budget at completion (BAC) with the estimate at completion (EAC). The EAC consists of the ACWP plus the estimate to complete (ETC). |