> ## Documentation Index
> Fetch the complete documentation index at: https://docs.arya.so/llms.txt
> Use this file to discover all available pages before exploring further.

# Budget and margin

> Configure budget, monitor automatic actuals and real-time margin.

Every Arya project has an initial **budget** compared against the **actual** (sum of real costs) to compute expected and realised **margin**.

<Frame>
  <img src="https://mintcdn.com/agevole/cM9eEPJE8FVhTNOb/images/progetti/en/budget-panel.svg?fit=max&auto=format&n=cM9eEPJE8FVhTNOb&q=85&s=06ac11d3beebd56e90cd72806e5162f3" alt="Budget panel with progress bar and cost detail" width="1200" height="720" data-path="images/progetti/en/budget-panel.svg" />
</Frame>

## Budget setup

Open the project → **Overview** tab → **Budget** section:

| Field           | Meaning                                        |
| --------------- | ---------------------------------------------- |
| Total budget    | Invoiceable to customer (from quote or manual) |
| Internal budget | Max internal cost allowed                      |
| Currency        | From workspace                                 |
| Expected margin | Budget − Internal budget                       |
| Margin %        | (Expected margin / Budget) × 100               |

## Actual components

Arya automatically sums these real costs:

<AccordionGroup>
  <Accordion title="Team hours">
    Hours logged on [timesheets](/en/hr/timesheets) × employee hourly cost.
  </Accordion>

  <Accordion title="Expense reports">
    Approved [expense reports](/en/hr/expense-reports) allocated to the project.
  </Accordion>

  <Accordion title="Supplier invoices">
    Received invoices linked to the project (materials, external consulting).
  </Accordion>

  <Accordion title="Manual costs">
    Cost lines entered manually by the PM (e.g. dedicated software licences).
  </Accordion>
</AccordionGroup>

## Alerts and thresholds

<Steps>
  <Step title="Set threshold">
    Project → **Settings → Margin alert**. Set the % below which to notify (e.g. 15%).
  </Step>

  <Step title="Receive alerts">
    When margin drops below threshold, Arya:

    * Highlights the project in red
    * Notifies PM and finance lead
    * Adds the project to "Projects at risk" report
  </Step>
</Steps>

## Actual view

**Costs** tab: detailed list with origin (X person's hours, expense, invoice N), date, amount. Filter by category and period.

## Aggregated reports

From the [Reports](/en/reports/overview) module:

* **Margin by project**: sorted by profitability
* **Team actual**: how much each person worked on each project
* **Cash flow forecast**: invoices already issued + expected from future SALs

## Frequently asked questions

<AccordionGroup>
  <Accordion title="Can budget be modified after project start?">
    Yes, but changes are logged in project history for audit. Requires PM or Admin role.
  </Accordion>

  <Accordion title="What if actual exceeds budget?">
    Margin goes negative. Project stays active — your call whether to request a change order from the customer or absorb the loss.
  </Accordion>

  <Accordion title="Can I exclude some costs from actual?">
    Yes, mark the cost line as `Do not count`. Useful for internal items not project-relevant.
  </Accordion>
</AccordionGroup>