Your IT budget is one of the most important plans your company produces. It sets the stage for your entire year, outlining what you’ll spend on hardware, software, staff, and other vital components of your IT infrastructure.
With that in mind, here are five things to consider before drafting your 2023 IT budget:
1. What Coverage Do You Need?
When considering your 2023 budget, take a close look at your IT insurance policy. Make sure you have the coverage you need and that it’s up to date. You don’t want to be caught off guard by an unexpected expense.
A good checklist to follow when embarking on that search is:
- How much will it cost to replace my equipment?
- Do I need business interruption insurance?
- What’s the likelihood of data loss, and how much would it cost to recover?
- What are the costs of compliance with IT standards?
No question is too small when it comes to your IT coverage.
2. Do You Need to Worry About Compliance?
If you’re subject to any industry-specific regulations or mandates, make sure you factor compliance into your IT budget. You may need to invest in specific software or hardware to meet compliance requirements.
For example, companies in the healthcare industry must comply with HIPAA regulations. This means they need to have security measures in place to protect patient data. As a result, they may need to invest in data encryption software or hire IT staff with experience in compliance. Otherwise, they risk facing hefty fines.
3. Proactive Coverage
To avoid costly downtime, make sure your IT budget includes funds for proactive coverage. Proactive coverage means having a plan in place to prevent or mitigate IT issues before they happen.
For example, you might set aside funds to purchase additional hardware when you know your current equipment is nearing the end of its lifespan. Or, you might create a budget for regular IT maintenance to keep your systems running smoothly. By being proactive, you can avoid costly downtime and many of the common causes of IT problems.
4. The Cloud
If you’re not already using cloud-based IT services, now is the time to start. The cloud can save you money on hardware and software costs, as well as provide flexibility and scalability.
Cloud-based IT services are the new norm. More businesses are moving to the cloud every day by storing data and applications off-site. If you’re not already using cloud-based IT services, you risk falling behind your competition.
5. Fully Managed or Just Things Here and There?
Finally, decide whether you want to outsource all of your IT needs or just some of them. A fully managed IT solution can save you money in the long run, but it’s important to consider whether it’s the right fit for your company.
It’s a good fit if:
- You don’t have the internal resources to manage IT effectively.
- You want to offload IT management to a team of experts.
- You want to focus on your core business and leave IT management to someone else.
If you only need help with specific IT tasks, like website development or data backup, then a partial IT outsourcing solution might be a better fit for your company.
Get Covered with Telewire – Your Partner in IT Service
No matter what IT budget considerations you’re facing, Telewire can help. We offer comprehensive IT insurance policies that will give you the coverage you need at a price you can afford.
For more information about our IT insurance policies, contact us today. We’ll be happy to answer any questions you have and help you find the right policy for your business.
