Fix fee in the Budget Proposal

Aug 6th, 2022
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How to fix fee in the Budget Proposal

5 out of 5
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welcome to our module on flexible budgets this module is related to our budgeting module and its also related to our variance analysis module budgets always a look forward right were sort of planning for the future were planning ahead variance analysis looks backwards flexible budgets use budgeting to look backwards and im going to give you an example again this is like so many of my examples based on a true story all the numbers are made up and some elements of the scenario are made up but its generally true enough for our purposes so ive got a friend who is a greens keeper and a golf course a fancy golf course and he was the head greenskeeper and he told me one day hes kind of proud he has this budget uh you know his his area has a like half a million dollars budget just to keep the golf greens green and you know looking good and thats hes in charge of a team and this was roughly the budget and the budget was based on being open uh 250 days now his golf course you know deal

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Fixed fee is a type of payment for services or products that is predetermined and does not change regardless of the amount of time spent on the project. It is also known as a flat rate, lump sum, or package price.
Fixed-fee is a type of pricing model. Sometimes referred to as a lump-sum contract, a fixed-fee agreement establishes a set price for the completion of a service.
Fixed Fee projects bill a set price, no matter how many hours are worked (e.g., $1,000 to build a website).
In a fixed price model usually the customer pays 100% of project cost in advance. In TM the payment is made monthly or as agreed with the contractor, you may pay the deposit at start and then pay for the actual hours based on monthly reports.
Fixed Cost: Any Cost which is stable throughout the project life cycle and would not vary by quantity, time or any other project aspects called a fixed cost. For Example: In a software project, rent for the company space, software license cost, salaries, systems cost are preferred as a fixed cost.
One of the primary benefits of fixed-price contracts is the predictability factor. Since the price is predetermined, clients can accurately budget for the project well in advance. This helps them manage their cash flow better and plan their resources effectively.
Fixed fee budget is the cost your customer pays you for the project. Budgeted hours: When you create a project, you typically estimate or set the total number of hours that you expect it will take to complete the project as budgeted hours.
A fixed fee is an arrangement in which you pay a set amount for a service or product, regardless of the length of time it takes to complete. This type of pricing typically applies to services like consulting, legal work, and website design, where the provider does not charge for materials or labor.

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