About the Earned Value Management Calculator
Earned value management (EVM) answers the two questions every project sponsor asks: are we on budget, and are we on schedule? This earned value calculator takes the budget at completion (BAC), how much work was planned and actually completed by the status date, and the actual cost spent so far, then returns the full set of EVM metrics — earned value (EV), planned value (PV), cost and schedule variance, the cost and schedule performance indexes (CPI and SPI), the estimate at completion (EAC), estimate to complete (ETC), variance at completion (VAC) and the to-complete performance index (TCPI).
It is meant for project managers, PMP candidates, contract controllers and construction or IT teams preparing a status report. You can enter progress as percentages of the total scope or as dollar amounts taken from your schedule and cost reports.
Three common EAC forecasting methods are offered: assume the current cost efficiency continues (BAC ÷ CPI), assume remaining work goes to the original budget (AC + BAC − EV), or factor in both cost and schedule performance (AC + (BAC − EV) ÷ (CPI × SPI)). Pick the one that best matches why the project has drifted.
With the default inputs, the estimate at completion (eac) is $575,000.00. Change any value above to recalculate instantly.
How to use the earned value management calculator
- 1Enter the total project budget (BAC).
- 2Enter planned and actual percent complete at the status date — or switch to dollar amounts and enter PV and EV directly.
- 3Enter the actual cost spent to date.
- 4Choose the EAC method that matches why the project has drifted.
- 5Read CPI and SPI first, then use EAC, VAC and TCPI to decide whether to recover or re-baseline.
Formula and method
Planned value is the budgeted cost of the work scheduled to be done by the status date, and earned value is the budgeted cost of the work actually completed. Comparing EV with actual cost shows cost performance; comparing EV with PV shows schedule performance, measured in money. An index above 1 is favourable and below 1 is unfavourable.
The estimate at completion depends on the method: BAC ÷ CPI assumes the cost efficiency so far continues; AC + (BAC − EV) assumes the overrun was a one-off and the rest goes to budget; AC + (BAC − EV) ÷ (CPI × SPI) also penalises schedule slippage. TCPI is the cost efficiency required on the remaining work to finish on the original BAC. The duration forecast divides planned duration by SPI — a rough indicator, since SPI drifts toward 1 near the end of every project.
- BAC
- Budget at completion — total approved budget
- PV
- Planned value — budgeted cost of work scheduled
- EV
- Earned value — budgeted cost of work performed
- AC
- Actual cost of work performed
Worked examples
$500k project, 40% done vs 50% planned
Forty percent of $500,000 gives EV of $200,000 against $250,000 planned and $230,000 spent. CPI is 200 ÷ 230 = 0.870 and SPI is 0.8, so at current efficiency the project will cost $500,000 ÷ 0.870 = $575,000 — $75,000 over — and take about 15 months instead of 12.
Remaining work assumed at budget
If the $30,000 overrun was a one-off, EAC is AC + (BAC − EV) = $230,000 + $300,000 = $530,000, and the remaining $300,000 of work is expected to cost exactly its budget.
Ahead of schedule and under budget
With EV $66,000, PV $60,000 and AC $55,000, CPI is 1.2 and SPI is 1.1. The CPI × SPI method gives EAC = $55,000 + $54,000 ÷ 1.32 ≈ $95,909, about $24,091 under the $120,000 budget. TCPI of 0.83 shows the remaining work could be done less efficiently and still finish on budget.
Frequently asked questions
What do CPI and SPI values mean?+
A CPI or SPI of 1.0 means exactly on budget or on schedule. Above 1.0 is favourable (under budget, ahead of schedule); below 1.0 is unfavourable. A CPI of 0.9 means you get 90 cents of planned work for each dollar spent.
Which EAC formula should I use?+
Use BAC ÷ CPI when current cost performance is expected to continue — the most common default. Use AC + (BAC − EV) when the variance was a one-time event. Use the CPI × SPI version when schedule pressure is also driving cost, such as overtime to recover lost time.
How is earned value different from actual cost?+
Earned value is the budgeted value of the work actually completed, regardless of what it cost. Actual cost is what was really spent. If you completed $200,000 of budgeted work but spent $230,000, EV is $200,000 and AC is $230,000.
What is a good TCPI?+
A TCPI near or below 1.0 means finishing on budget is realistic. Values above about 1.1 mean the team would need to work much more efficiently than it has so far, which rarely happens — a signal to approve a new budget instead.
Why does SPI return to 1 at the end of a project?+
At completion, earned value equals the full budget and so does planned value, so SPI becomes 1.0 even if the project finished late. That is why SPI-based duration forecasts are only rough guides; earned schedule methods measure delay in time units instead.