How To Start A Budget Plan?

Okay, let's look at this budgeting formula:

Total Budget = Design Fees + Home Remodelling (both labour & materials) + Built In Cabinets + Soft Furnishings (Furnitures, Decorations) + Electrical Appliances 

Before we determine the ratio of budget allocation in different category, let us look at the category in renovation?

01. Home Improvements
Electrical work, Masonry Work, Wet Work, Ceiling Work, Painting Work, Plumbing Work, Window & Door Work

02. Build in cabinets
Kitchen cabinets, Wardrobes, Feature walls / cabinets, storage cabinets

03. Furnitures
Living, Dining, Bedrooms, Study Room, Entertainment Room etc.

04. Soft Finishing
Pillows, Plants, Decorations, Bedsheets, Bathroom sanitary items, Mirrors etc.

05. Electrical Appliances
Fridge, TV, Kitchen Appliances, Ceiling Fans, Lighting products, smart home etc.



Budget Ratio In Each Catagory
There is golden ratio of 2:1:1, where- Home Remodelling (labour & materials) : Soft Furnishings (Furniture & Decor) : Electrical Appliances



However, this is just a reference.

Bear in mind every budget ratio plan should be customized according to the homeowner’s requirements.

An example is shown in the following chart:-
 

Case Study
Based on this budget planning, the homeowner values storage space and they are ready to invest a large sum in built-in cabinetry for their new home. Since this is a new, bare unit, it is easier to plan your budget for a blank canvas space. The percentages of the chart will shift according to your personal needs. 



Customer Profile
No. of Pax stay in: 1 Pax

Living behavior:
Love to cook, detail-oriented, he works as IT system consultants (usually work from home and spend most of the time at home)

Home Condition:
800 in total sqft, original kitchen layout is small, sizes of all rooms are small.

Client needs:
Maximize storage spaces