What is the “Budget” IT Support Plan?
Are you considering a Budget IT support plan? Stop! The “Budget” is an IT support program with a base package plus a reserve of IT support dollars. This program is very complex and requires more investigation before you commit to it.
Under this program, the provider assigns you a budget reserve. Any IT service can withdraw from the reserve, including IT support, hosting, professional services, managed security, custom programming, and unified communications. While it sounds great, keeping your cost below the reserve is nearly impossible. Below are the positive and negative aspects of the Budget program to consider before you commit.
Positive Aspects
Companies that offer this program rank high on the IT maturity scale. Many clients are attracted to this IT program because it provides rollover for unused hours. They also offer a one-stop shop for all their IT support needs throughout the United States.
Negative Aspects
Unfortunately, the billing and invoicing of this plan are incredibly complex, and the financial risk is entirely on the client. In a deeper review, this plan has two parts: the base package and the budget reserve.
Base Package
Companies that offer the base package invest heavily in people, processes, and technology, which we all agree is wonderful. However, it does not include the things that protect your network, like network monitoring and basic security. For example, you will pay a hefty difference if you want your desktops monitored. (Something you should absolutely do.) As a result, the base package could cost as much as a third of the total monthly commitment.
Budget Reserve
The tricky part of the IT Support Budget plan is the budget reserve. For instance, these companies claim that the client can apply any services against the IT budget, and the unused budget will roll over for an additional two months. However, the reality is there is rarely any budget left over. Let’s see how it works below:
Basics of Budget Reserve Calculation
The average IT budget is based on 30 minutes per workstation and 1 hour per server per month. As an example, 100 computers would require 50 hours. Next, they calculate the 50 hours with a combined industry average of 10 % onsite and 90% remote rate. The hourly rates are applied against the budget whenever the client calls in. Since the calculations are based on the average industry usage, the likelihood of having any leftover budget is very slim. Unfortunately, you often run over your budget with helpdesk calls. When that happens, you must pay overage fees that rack up quickly.
Every Level and Service Has a Different Cost
The IT Support Budget plan cons don’t stop there since we only covered helpdesk rates. Astonishingly, everything above the helpdesk level is at a much higher rate, and additional work will eat away at your budget much faster!
Further, the client can also apply other service options toward their budget. For example, clients may apply hosting, telecom, programming, or managed security toward their budget. Adding these additional options guarantees they will run over their allotted budget since the budget is based on the calls, no additional options.
Why Atlanta Companies Choose the Budget Program
Many small- and medium-sized businesses seek superior service at a fixed monthly amount. However, the budget model quickly spirals costs out of control because many clients find it impossible to stay under budget. Statistically, it takes 30 minutes per workstation and 1 hour per server to support a client environment. These hours illustrate the time needed for companies highly dependent on their network for business operations. For this reason, companies need to ADD additional services rather than applying them to the monthly budget or they will go over. To summarize, the client’s IT cost is highly unpredictable with the Budget program.
A Better Alternative
A better alternative to “Budget” IT support is INSIs Managed services or Customized IT™. INSIs unique model offers decreased rates on helpdesk support issues without sacrificing quality by charging entry-level rates for entry-level tickets, which constitute 80% of IT support tickets. Further, we can manage the entire environment, fill in the gaps for an internal IT team, or break out the services to the client’s exact needs. Finally, we can do all this for a fixed fee.
Do You Want To Learn More About The Difference Between the “Budget” Model and INSI’s Customized IT™?
Go here to see the various types of IT support, their pros and cons, and great questions to ask the provider on each one. Contact INSI to discover the IT Support Plan that’s right for your Atlanta company. Call 770-387-2424, option 2.
About INSI: The Best MSP in Atlanta!
Innovative Network Systems, Inc. has a unique approach to integrating IT support and cybersecurity. Our month-to-month programs range from basic support to proactive support, managed support, and customized support. Each program is tailored to the client’s needs and internal IT strengths.
For more information about cybersecurity dangers and the preventative measures for your company, connect with the top MSP in Atlanta; Contact INSI: 770-387-2424, option 2 or click the link below. In addition, we offer 16 different cybersecurity programs to protect you and your data.
About the Author
Deborah Frazier is the author of IT Outsourcing Secrets – A Small Business Guide to Compare IT Support Companies. With nearly 20 years of experience consulting small and medium-sized businesses on their IT support needs, she brings a wealth of knowledge to INSI as Head of Marketing and Sales. If you like this article and want to get notified when a new article is posted, click here.
