IT Budgeting for Small Businesses: How Much Should You Be Spending?

Technology is one of the most important investments a small business can make — but it's also one of the easiest to underfund. Here's a practical guide to IT budgeting so you're spending wisely, not just reacting to problems.

The industry benchmark

Small businesses typically spend between 4% and 7% of annual revenue on IT. If you're well below 4%, your technology is likely falling behind — and catching up always costs more than staying current.

What your IT budget should cover

• Hardware refresh — computers, switches, and routers have a 3 to 5 year useful life

• Security tools — firewall, antivirus, backup, and monitoring

• IT support — whether in-house, managed services, or a trusted local partner

At Hawk IT, we help Pennsylvania businesses build practical IT plans that fit real budgets. Contact us to get started.