Technology Spending

By: Gardiner Thomsen CPAsemail

All companies should include strategic technology plans as part of their overall business plans. This helps balance the need for new technology now and in the future. These plans consider factors such as the likely lifespan of any technology, the cost today, and the potential benefits. New technology tends to fall in price as time goes on, so you need to decide if the lower cost is worth losing any benefits you might receive by adding the technology sooner. On the other hand, some of the newest technology still has bugs that are likely to be worked out in later versions. Additionally, you might be able to get a better return by changing some of your internal procedures before making any technology purchases. Just remember, technology is a tool, not a solution.