Software Development Costs
|9 Months Ended|
Sep. 30, 2021
|Software Development Costs [Abstract]|
|Software Development Costs||4. Software Development Costs The Company has capitalized certain costs for software developed or obtained for internal use during the application development stage as it relates to specific contracts. The amounts capitalized include external direct costs of services used in developing internal-use software and for payroll and payroll-related costs of employees directly associated with the development activities The following table presents details of our software development costs as of September 30, 2021 and December 31, 2020: Balance at December 31,2020 Additions Amortization Balance at September 30,2021Software Development Costs$ 439,908 $ 310,546 $ (309,618) $ 440,836 $ 439,908 $ 310,546 $ (309,618) $ 440,836 Software development costs are being amortized on a straight-line basis over their estimated useful life of two years. Amortization expense for software development costs was $104,870 and $141,196 for the three months ended September 30, 2021 and 2020, respectively. Amortization expense for software development costs was $309,618 and $402,211 for the nine months ended September 30, 2021 and 2020, respectively. The estimated future amortization expense of software development costs as of September 30, 2021 is as follows: Year ending December 31,Amount2021$ 106,4772022 255,9652023 78,3942024 —2025 —Thereafter —Total$ 440,836|
The entire disclosure for research, development, and computer software activities, including contracts and arrangements to be performed for others and with federal government. Includes costs incurred (1) in a planned search or critical investigation aimed at discovery of new knowledge with the hope that such knowledge will be useful in developing a new product or service, a new process or technique, or in bringing about a significant improvement to an existing product or process; or (2) to translate research findings or other knowledge into a plan or design for a new product or process or for a significant improvement to an existing product or process whether intended for sale or the entity's use, during the reporting period charged to research and development projects, including the costs of developing computer software up to the point in time of achieving technological feasibility and in-process research and development acquired in a business combination consummated during the period.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef