What is typically included in a project's overall budget?

The overall budget of a project generally encompasses a comprehensive range of expenses necessary for completion, which includes labor costs, material costs, and overhead costs.

Labor costs refer to the wages or salaries of the workforce needed for the project, including any benefits and payroll taxes. Material costs involve expenses related to raw materials, supplies, and equipment required to execute the project. Overhead costs are indirect costs that support the project but aren’t tied directly to any specific task, such as utilities, administrative expenses, and office supplies.

Including all of these components ensures that the budget provides a realistic view of the financial resources required to successfully complete the project, allowing for better planning and resource allocation. By accounting for labor, material, and overhead costs collectively, project managers can mitigate the risk of budget overruns and ensure financial accountability throughout the project's lifecycle.