Basis of Estimate (BOE)
EVM Terms
Reviewed by forProject Technology - updated Sep 2026
Quick definition: A Basis of Estimate (BOE) is the documented reasoning behind a cost or resource estimate for a specific piece of project scope.
A BOE explains how an estimate was built: the assumptions, methods, and data behind it. It's prepared for the original estimate and again whenever a re-plan produces a new one.
What this means for you
Without a BOE, an estimate is just a number, with no way to judge whether it's reasonable. A clear BOE also supports audits and reviews by showing how the budget was derived.
Also known as
BOE
Used in
Control Account Plan development; re-planning
See also
FAQ
Is a BOE only created at the start of a project?
No. A BOE may also be prepared whenever a change in scope, schedule, or risk assessment suggests that a new BOE may be appropriate.
What level of the Work Breakdown Structure (WBS) needs a BOE?
A BOE can apply at several levels, including WBS Elements, Control Accounts, Work Packages, and Planning Packages.
Definition maintained by forProject Technology.
© 2026 forProject Technology, Inc.
© 2026 forProject Technology, Inc.
