Software Development Costs

9 Months Ended

Sep. 30, 2017

Software Development Costs

Software Development Costs

6.       Software Development Costs

              The Company capitalizes certain costs incurred in connection with obtaining or developing internal-use software, including external direct costs of material and services and payroll costs for employees directly involved with the software development. As of September 30, 2017 and December 31, 2016, capitalized software costs consisted of the following:

	September 30, 2017		December 31, 2016
Software development costs	$	8,652	$	6,501
Less:  accumulated amortization		(4,388)		(3,151)
Software development costs, net	$	4,264	$	3,350
Capitalized software costs not yet subject to amortization	$	2,421	$	911

Amortization expense for the three months ended September 30, 2017 and 2016 was $426 and $302, respectively. Amortization expense for the nine months ended September 30, 2017 and 2016 was $1,237 and $757, respectively.