How twtech creates and set monthly budget limit (threshold) in aws to monitor & alert Costs.

 

To create and set a monthly budget limit in AWS, twtech uses AWS Budgets, a built-in service that helps track usage and costs.

Here’s how you can set a monthly budget step-by-step:

 Step-by-Step: Create a Monthly Budget in AWS

1. Sign in to AWS Console (IAM-user need to be granted access by root user to the billing console)
• Go to: https://console.aws.amazon.com/billing/home#/budgets
2. Click on “Create budget”
3. Select Budget Type
• Choose Cost budget.
• Click Next.
4. Set Budget Details
• Name: Give your budget a descriptive name (e.g., Monthly-DevOps-Budget)
• Period: Choose Monthly
• Budget renewal type: Choose Recurring budget
• Start month: Select when to start the budget
5. Set Budget Amount
• Budgeting method: Choose Fixed
• Enter the budgeted amount, e.g., $300
6. Configure Alerts (Highly Recommended)
• Set up email alerts to notify you when:
• Actual cost exceeds a threshold (e.g., 80% of budget)
• Forecasted cost is expected to exceed your limit
• Add email recipients (use your email or a distribution list)
7. (Optional) Set Filters
• You can filter by service (e.g., EC2, S3), linked account, tag, etc.
8. Review and Create
• Double-check all settings
• Click Create budget

Example

If you want to ensure your monthly cloud spend stays under $300, create a budget named MonthlyBudget300, set the amount to $300, and set up an email alert for when usage hits 80% ($240) and 100% ($300).

 Tips

• AWS Budgets does not stop usage, it only alerts.
• If you want to automatically restrict usage, consider using AWS Service Quotas, Organizations SCPs, or custom automation via Lambda + Budgets Actions (advanced).
• twtech also uses Budgets Actions to trigger things like IAM policies or notifications to Slack when thresholds are hit.

Project

How twtech IAM-user sets a budget-limit in aws, so that it does not spend too much money on services without notice.

 twtech root user (pat.a.foncha) must grant billing and cost management access to IAM-user twtech-pat-v3

Go to twtech root account (pat.a.foncha) , then click on account.

NB:

User must login with root account to access Billing data.

Activate IAM user and role access to Billing information.

From

To:

update IAM user and role access to Billing information.

This allows IAM-user to access billing information.

Login to another browser as IAM-user (twtech-pat-v3)  to verify that IAM-user (twtech-pat-v3) can now see and manage Billing information.

https://twtech-pat-v3.signin.aws.amazon.com/console

Got to IAM-user account(twtech-pat-v3), then navigate to billing and cost management console to see whether user now has access.

Yes. IAM-user, (twtech-pat-v3) has been granted access by root user (pat.a.foncha) to manage the  billing and cost console

How twtech views the breakdown of monthly costs for services in aws.

Cost breakdown by services.

Free tier usage. If free tier forecasted usage turns red, it would be charged. Make sure the services are monitored and possibly  turn-off to reduce costs.

How twtech set up a zero spent budget limit to aws services. (to make sure no money  is spent)

Click on:  Budgets

create a budget.

Assign a name & email for the zero budge template: 

Create the budget

Example of email notification that zero budget alert has exceeded limit. (>$1. has been spent) 

How twtech IAM user Creates a monthly budget that alerts whenever users reach the set limit (threshold)

Secify the budget limit and contact email.

NB:

The monthly budget can be edited or deleted,