Architect Fee Methods: Top-Down, Bottom-Up, Fixed, and Not-to-Exceed for ARE 5 | PcM

Architect Fee Methods: Top-Down, Bottom-Up, Fixed, and Not-to-Exceed for ARE 5 | PcM

Author: Bryn Young | BYoung Design September 11, 2025 Duration: 7:19

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In this Coaching Highlight from our Mind Over ARE sessions (inside ABC Club Premium), we tackle a classic ARE 5.0 Practice Management (PcM) question:

👉 How do architects calculate fees — and what’s the difference between top-down budgeting, bottom-up budgeting, not-to-exceed hourly, and fixed fee?

These terms show up all the time in both the exam and real practice. In this episode, we break down:

  • Top-Down Budgeting – starting with a gross fee and distributing it across phases
  • Bottom-Up Budgeting – calculating actual staffing hours × hourly rates
  • Not-to-Exceed Hourly – billing by the hour with a contractual cap
  • Fixed Fee (Lump Sum) – set fee tied to a clearly defined scope

We also discuss how firms blend these methods in practice, and why understanding them is critical for passing PcM and for long-term success in managing projects and communicating value to clients.

This is just a small preview of what you’ll find in our Mind Over ARE coaching calls — live study sessions, replays, and searchable Coaching Highlights, all available inside ABC Club Premium.

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If you're navigating the challenging path toward becoming a licensed architect, Design Create Inspire offers a companion for the journey. Host Bryn Young, a licensed architect and the founder behind ABC Club and Mind Over ARE, draws from her own experience and her work coaching others to create a resource that goes far beyond simple study tips. This podcast digs into the practical strategies for tackling the ARE 5.0, but its real strength lies in addressing the mental and logistical hurdles that come with exam preparation. You'll find episodes focused on effective study techniques, breaking down complex exam divisions, and building a sustainable study plan. More importantly, Bryn incorporates mindset tools and shares genuine insights from real coaching conversations, tackling common struggles like procrastination, maintaining motivation over the long haul, and finding a balance between exam demands and personal life. It’s a blend of tactical advice and psychological support, all aimed at helping you not just prepare for the test, but persevere through the entire licensure process. Tune in for honest discussions that acknowledge the difficulty of the endeavor while providing the clarity and encouragement needed to move forward.
Author: Language: English Episodes: 100

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