Budget Review - End of Planning Phase

Yesterday, I placed the order for the GTM. It should show up some time in mid June. This essentially ends the planning phase of the build. The kit purchase is the single largest line item of the entire build. So I think it is a good time to review the budget. My initial estimate was $68,200. When I refined this number, I came up with  $72,200. I set the budget at $70,000. My projected cost is currently 20% higher than that. So where did I go wrong, and importantly, why did I go wrong.

I think it is still possible to build the GTM for something between $55,000 and $60,000. This means you are making no upgrades, and use everything from a donor, including the engine and a recondition Porsche G50 transmission. There is nothing wrong this approach, but I wanted something better. If I'm going to pour three years into this project, then I want a car at the end of this project that is unique and tailored to my specifications.

The following chart shows expenditures to date, based on my original estimate ($70,000), adjustments to specific line items, actual costs and variance to the adjusted line estimates. I have actually done very well to date. I am well within my estimates. I think these categories are easier to price.

Item	Estimate	Adjusted estimate	Actual	Variance
brakes	2000	2000	1945	55
donor	11000	11000	4649.02	6350.98
wheels	3200	3200	1380.99	1819.01
Kit	25000	22967	22692	275
Totals	41200	39167	30667.01	8499.99
Pct of original Estimate	58.86	55.95	43.81
Pct of Revised Estimate	50.24	47.76	37.4

I saved money by going with a donor parts kit, and I haven't purchased the Nitto Invo tires.

Technology and add ons have increased the cost. Yes, mission creep has struck!

These are the categories where I blew the budget estimate:

Item	Estimate	Adjusted estimate
ISIS	0	3108
harness	1500	0
Paint	3000	9000
options & add ons	4000	7714

When I started this project, I didn't even know that ISIS power existed. Sometime last fall I came to realize ISIS was the only sensible power system for the GTM. It provides a programmable and scalable power management system.

The engine harness fits nicely with the engine budget. I think I'm within 10% of both the original transmission and engine estimates. The current engine  slated to drop into the GTM is a LS376/525 with electronic fuel injection. I think it will be relatively simple to get this to just under 600 HP with the optional cold air intake (part of the kit order) and the Kooks custom exhaust (part of the options).

I had no idea how much the paint job would cost and I plugged a number in. I was way off. 

The real mission creep is in the options and add ons section. 

• There are a bunch of body work pieces that I will order from Vraptor Speed Works.
• The paddle shift system to replace the conventional shifter in the center console. This is to make room for additional electronics and ISIS hardware.
• The Ram Lift system to protect the GTM body from unsightly scrapes and damage.
• One thing not reflected at the moment is the APR Racing Wing and mounting hardware. This is an enhancement that is not required to complete the car and can be added at a later date. So I have not reflected this in any of the budget figures.

My conclusions for the over budget issue. The GTM is a work in progress and the build is stretched over 3 years. Technology and ways to do things better will present themselves through out the build. If this were a 3 month project and I had all the money up front, then line items would be cast in stone. Due to the length of the build and the nature of the car, it is foolish to ignore technological innovations that will enhance the finished product. Obviously, I should have included a bigger number for the options and add ons.