Contractor finance
Budget vs Actual Tracker
Compare planned budget to actual cost so variance is visible before the job closes.
Inputs
Variance ($) = Actual cost - Planned budget
Variance (%) = Variance ($) / Planned budget
A positive variance means cost is running over budget. A negative variance means cost is still below budget.
Results
These numbers show whether cost is aligned with the plan.
Variance ($)
$1,625.00
Variance (%)
8.8%
Budget status
Over budget
Actual cost has exceeded the planned budget. Review labor pace, purchasing, and unpaid change work.
Practical use
If a job was budgeted at $18,500.00 and actual cost is $20,125.00, the variance should be reviewed before the next pricing or billing decision is made.
Why tracking variance matters
Variance is the difference between what the job was expected to cost and what it is actually costing. That difference is often where profit fades. If the variance is not reviewed, estimating errors and field overruns are carried into the next job unchanged.
How contractors use this
During production
Check variance while the work is active. That gives time to correct labor pacing, tighten purchasing, or push pending change work into pricing.
After closeout
Compare final actual cost to the original budget. Repeated variance in the same category usually means the estimating method needs adjustment.
Contractor example
A contractor budgets a storefront repair at $18,500. Two weeks later, actual cost reaches $20,125 because labor ran long and one material order had to be replaced. The variance is not a bookkeeping detail. It is an early warning that profit has already narrowed.
Related resources
Variance needs attention while the job can still be corrected.