Does your employer provide a yearly work from home stipend for your remote office setup? If so, that’s free money you shouldn’t leave on the table. If you’re self-employed or a contractor, setting aside an annual home office budget for your workspace isn’t just a smart investment—it could also be a tax-deductible business expense.
In either case, upgrading your home office can enhance your productivity, improve comfort, and streamline your workflow. But how should you spend that budget to get the most value? Let’s explore the best investments for your remote work setup.
As an Employee – Work from Home Stipend Considerations
When you are working from home, most companies provide a computer, mouse, and keyboard for your basic setup. I think this makes a lot of sense. If they don't provide a computer their information, documents, etc. will be on your personal computer. This also allows them to setup VPN software to make communications to the office secure.
Some companies will even provide additional items to improve your home work environment. At the start of Covid when everyone was moving home to work, I was offered a nice office chair. I already had one so it wasn't needed, but the offer was nice.
Some companies will also provide a work from home stipend. This is usually an annual amount or one time cash you can use to get the items to make your home work space more functional. If this is something you get, make sure you use this money and this article will give you a few ideas on what to spend this money on.
Self-employed or Contractor – Annual Home Office Budget Considerations
If you are self-employed or a contractor you should set aside a yearly home office budget. This provides funds to improve your work space and make you more efficient. This can save you time and allow you to make more money.
And the money you spend on your remote office setup, may also be a tax write off. Maybe you are already buying items that you can use for your yearly taxes. This is where a good accountant is valuable. They can review your home office setup and make recommendations on using these assets to lower your taxes. You might also be use some of your existing home office space as a tax write up. Again this is where it's good to work with an accountant to review your yearly expenses. They will cost some money, but they can save you a lot.
Okay, so what to spend your home office budget on? Read on for my tips and ideas.
What to Spend Your Work From Home Stipend or Home Office Budget On
If you don't already have a good computer setup, I recommend you purchase this first. Nothing worse than trying to work remotely and your computer is too slow or your mouse isn't working properly. Quick tip – if your mouse isn't working properly, replace the batteries as a starting point. If your company has an IT department I recommend following up with them if you have any problems with your remote setup. These people are usually pretty helpful and sometimes have spare equipment lying around.
If you already have a good computer, I've listed my top 5 recommendations based on a home office budget of $1000. Note, recommendations and prices are based on availability and cost at time of writing this article.
- Ergonomic Chair – Why? A high-quality ergonomic chair can significantly impact comfort and productivity by reducing back and neck strain. Budget $300 to $500, but you can spend a lot more than this if you have a big budget. Top four picks:
- Herman Miller Sayl ($500–$600, but often on sale)
- Steelcase Series 1 ($400)
- Branch Ergonomic Chair ($330)
- Budget Alternative: Amazon Basics Ergonomic Chair ($150)
- Dual or Ultrawide Monitor – Why? An expanding screen real estate boosts productivity, making multitasking easier. Budget $250–$500. Top three picks:
- LG 34WN80C-B 34” Ultrawide ($450)
- Dell UltraSharp 27” U2723QE ($450)
- Budget Alternative: Acer 27” Monitor ($250)
- Mechanical or Ergonomic Keyboard & Mouse – Why? A high-quality keyboard and mouse reduce strain and improve typing speed. Budget $100–$200. Top 3 picks:
- Keyboards: Keychron K2 ($90), Logitech MX Keys ($120)
- Mice: Logitech MX Master 3S ($99), Anker Vertical Ergonomic Mouse ($35)
- Budget Alternative: Logitech MK850 Combo ($80)
- Desk Upgrades: Adjustable Desk or Accessories – Why? A standing desk or desk accessories (monitor arms, desk mats) can improve ergonomics and efficiency. Budget $100–$300. Top Picks:
- FlexiSpot Electric Standing Desk ($300)
- Jarvis Bamboo Desk (Fully) ($500+ but often discounted)
- Budget Alternative: Standing Desk Converter ($100)
- High-Quality Webcam & Microphone – Why? Clear video and audio make a difference in virtual meetings. Budget $150–$300. Top Picks:
- Webcams: Logitech Brio 4K ($150), Elgato Facecam ($170)
- Microphones: Blue Yeti ($130), Rode NT-USB Mini ($99)
- Budget Alternative: Logitech C920 ($80)
- Bonus Considerations – Software and Subscription Services (if budget allows)
- If you're working outside your home office in coffee shops or other remote locations, good idea to purchase VPN software to keep your computer and data safe. And some companies my recommend or make this a requirement for employment. Also, good if you are traveling and using the hotel WiFi.
- Depending on your work there's a few subscription based software that will make you work more efficiently. Here's a few of the packages I recommend and use:
- Antivirus software – I'm using McAffee which includes free VPN software.
- Evernote – note-taking app that lets you create, organize, and sync digital notes across devices. I like this one because I can share and edit notes on my computer, iPhone, and iPad. To do this you need to sign-up for a yearly subscription. I have their personal plan and budget $160 per year.
- Lastpass – password manager that helps you store, secure, and autofill your passwords. I'm currently using their free version.
- Snagit – screen capture and recording program that lets you capture images or videos from your screen and camera. Once you have an image captured you can make edits and include in your documents. Very helpful for making instructional documents or articles.
- A final consideration, especially when working in a noisy environment is a good set of noise-cancelling headphones.
Final Thoughts: Maximize Your Work From Home Stipend
Whether your employer provides a remote work stipend or you’re a self-employed professional setting aside a home office budget, making smart investments in your workspace can significantly enhance your productivity, comfort, and efficiency.
Start with the essentials—a reliable computer setup—then focus on upgrades that will improve your daily workflow, such as an ergonomic chair, a larger monitor, or a high-quality keyboard and mouse. Don’t overlook software tools and subscriptions that can streamline tasks, enhance security, and keep you organized.
By strategically spending your budget, you’re not just improving your home office—you’re investing in your long-term productivity and well-being. Take advantage of your stipend or budget wisely, and create a workspace that helps you work smarter, not harder.