Practical Law Glossary Item 8-545-1205 (Approx. 3 pages)
Glossary
Soft Costs
In the context of a construction budget, all indirect costs associated with the project that are not directly related to the hard costs of the project. A large portion of the soft costs are incurred during the pre-construction phase.
While hard costs are those associated with the physical construction of the project, such as labor, material and equipment, soft costs commonly include: