Event details
How do you recommend tracking forecasted Azure spend and aligning it with budgets to avoid unexpected cost overruns?
- kyleikedaJan 22, 2026
Microsoft
Thanks for the question. Here are some recommendations to track forecasted Azure spend and align it to your budgets:
- Set Budgets & Alerts in Azure Cost Management
Create budgets for subscriptions, resource groups, or workloads and set alerts so you know when spending approaches your target.
Resources to learn more:
- Create and manage budget alerts: https://learn.microsoft.com/en-us/azure/cost-management-billing/costs/tutorial-acm-create-budgets?t…
- Use Forecasting Tools to Predict Future Spend:
Azure Cost Management provides built‑in forecasting so you can project spend for the month or quarter based on usage trends.
Resources to learn more:
- Understand cost forecasts: https://learn.microsoft.com/en-us/azure/cost-management-billing/costs/cost-analysis-common-uses
- Track Costs by Team or Project With Tags
Tagging resources (e.g., by cost center, environment, or app) makes it easy to report on and allocate costs accurately.
Resources to learn more:
- Use tags to organize resources: https://learn.microsoft.com/azure/azure-resource-manager/management/tag-resources
- Cost allocation best practices: https://learn.microsoft.com/azure/cost-management-billing/costs/allocate-costs
- Run Regular Cost Reviews and Apply Optimization Recommendations
Review spend patterns monthly or quarterly. Azure Advisor gives personalized recommendations such as right‑sizing VMs or removing idle resources.
Resources to learn more:
- Azure Advisor cost recommendations: https://learn.microsoft.com/azure/advisor/advisor-cost-recommendations
- Cost optimization in Azure Well‑Architected Framework: https://learn.microsoft.com/azure/well-architected/cost
- Use Pricing Tools for Planning & Budgeting
For new workloads or migrations, use Microsoft’s calculators to estimate expected monthly spend.
Resources to learn more:
- Azure Pricing Calculator: https://azure.microsoft.com/pricing/calculator