Spiceworks Community Digest: Budgeting for 2026
While many of us are still clearing out holiday inboxes, the financial reality of the year ahead is already coming into sharp focus. According to the Spiceworks 2026 State of IT report, global IT spending is projected to grow by 11% this year.
At first glance, an 11% bump looks like a cause for celebration. However, any seasoned IT professional will tell you that a bigger budget doesn’t always mean more cash leverage, but rather a reflection of rising IT costs.
The flat and “hope-based” budgets
Between SaaS price hikes and hardware inflation, many departments are finding that even a budget increase still just covers the baseline. According to discussion on the Spiceworks Community, many report that their budgets are effectively flat, meaning they are being asked to support a 2026 infrastructure with the same dollars they had last year.
Even more surprising is the number of IT professionals that don’t actually have an official budget to work with and every purchase is a separate battle for approval.
- ericesparza: “no budget… just request and hope its approved. before we had cart blanche to order what is needed without any review.”
- Coffeelifeform: “What is commonly used here is the term “ringfenced” with regards to budgets. It give the impression of it being protected and safe, but what it really means is a freeze. The budgets are not going to vanish, or contract, but you better start getting creative with the duct tape and WD40.”
- Patti8216: “The firm is actively pushing to increase headcount, no matter what they want hardware and licenses cost. Hard to be reasonable with the demand to decrease budget.”
Vendors are increasing their prices
We’re seeing a trend where vendors attempt to justify double-digit increases by bundling in “advanced offerings” or AI features that the IT department may not even want or need.
- adrian_ych: “But in 2026, the hardware and software (mainly VMware) became close to $180k-$200k.”
- Patti8216: “The worst were the vendors trying to get 19-22% increases under the guise of “increased offerings”. I don’t want more, just the same with the standard increase.”
Bottom line: strategic resilience will be key for 2026
Whether you are dealing with “ringfenced” funds or fighting for a 20% increase just to keep your existing virtualization stack, the ability to communicate technical value to non-technical stakeholders is paramount. The Spiceworks Community is a great place to learn from others and share advice on these very challenges. Join the conversation today!
