Project Budgeting Questions

Most of the clients ask us these common questions on Project Accounting whether it is during a Pre-sales activity or during an implementation cycle. During a recent discussion in Dynamics GP partner forums, Andy Sather from Microsoft has given great answers to these questions. I thought I'll put the same here.
Q1: In Dynamics GP Project Accounting Module, Can we have zero budgets defined?
Q2: In Dynamics GP Project Accounting Module, Can we modify the Baseline Project Budget Amounts?
A1: The answer to Q1 is partly yes and partly no. We can have zero budgets if the the project type is "Time & Materials". We cannot have zero budgets for the other two project types, Cost Plus and Fixed Price.

Time & materials projects are based on cost transaction amounts. So, We dont need to budget T&M projects at all.

Fixed Price projects use the Baseline Billings amounts to bill off of. Whenever you make a change to the baseline, it will update the forecast and you are not given the option to make changes to the forecast.

Cost Plus projects also use the Baseline Billings amounts to bill off of but you can make changes to the profit on both the Baseline and Forecast values.

A2: We can very much modify the Baseline amounts despite the project status is set to open. For changing the Baseline budget we need to go through the following steps.

I. Go to Project => Cards => Project => Forecast. Change the status of cost category to "Estimate" from "Open" status. (In the open status, it wouldn't allow us to edit the baseline cost)

II. Change the QTY / Total cost on the Baseline. Once the amount is saved, it opens the following window. Click Yes to it.

III. Now, your baseline amounts would stand changed.

IV. Now, change the cost category status back to "open".

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