Hidden IT costs at accounting firms, and where to find money for next year

The fourth quarter is when accounting firms set next year's budget, right before the busiest months of the year. It's also the best time to find money you're already spending on technology nobody uses.

The goal isn't the cheapest stack. It's paying for what the firm actually needs. Five places to look:

1. Licenses for people who aren't there

Seasonal preparers leave in April. Their seats in Microsoft 365, the tax software, the document portal and the e-signature tool often keep billing all year. Free trials quietly turn into subscriptions.

Check: Pull the user list for every subscription and match it to your current staff. Cancel or reassign what's left over, and plan seasonal seats so they start and stop with the season.

2. Two tools doing one job

One partner likes one client portal, another uses a different one. Half the firm meets on Teams, the other half on Zoom. Two file-sharing services, two e-signature tools, two password managers.

Check: List every tool across the firm and what it's for. Sometimes the overlap is real and justified. Often it isn't, and standardizing also makes the firm easier to secure.

3. Tiers you've outgrown, or never needed

Software plans come in tiers, and firms tend to drift upward. Premium AI features, extra storage, advanced workflows: valuable if used, waste if not.

Check: For each major platform, ask which premium features anyone used this year. Right-size the plan to match.

4. Technology left behind by former staff

Laptops in a closet, phone lines still active, mailboxes still licensed, accounts that still work. Beyond the cost, a working account for someone who left is a security risk and, under the FTC Safeguards Rule, an access control problem.

Check: Find and close them now, and make removal part of every departure going forward.

5. Old equipment that costs more to keep

An aging server running the tax software, PCs that need regular repairs, a firewall out of warranty. Old isn't automatically bad, but if staff complain every season, compare the cost of keeping it running with the cost of replacing it. Some software, including Windows Server 2016, also stops getting security updates soon (January 12, 2027), which makes the decision for you.

Don't just copy last year's budget

An hour with your IT provider and your subscription statements usually finds savings, and those savings can pay for the security improvements your WISP calls for. If you'd like a second set of eyes, that review is part of our free assessment.