What is a project budget?

A project budget is a detailed estimate of the costs required to complete project activities. It serves as a financial framework for the project, providing a breakdown of anticipated expenses associated with various tasks, resources, and timelines. This budget is crucial for ensuring that a project is financially feasible and for monitoring spending throughout its lifecycle.

By setting a clear budget, project managers can allocate resources effectively, track expenditures against the planned budget, and make informed decisions regarding adjustments if necessary. A well-structured budget helps in risk management, as it identifies potential cost overruns and facilitates proactive strategies to mitigate financial issues.

The other options do not encapsulate the essence of what a project budget entails. While project goals and objectives are vital for guiding project direction, a project budget specifically focuses on financial aspects. A list of team members is important for organization and accountability but does not relate to the financial planning of the project. Similarly, a timeline for project completion relates to scheduling and deadlines rather than the financial resources required to achieve project outputs.