The Cost of Speed

Technical debt is the implied cost of additional rework caused by choosing an easy (limited) solution now instead of using a better approach that would take longer.

Managing the Principal

Like financial debt, tech debt accrues interest. If you never pay down the principal, all engineering capacity goes toward paying the interest (fixing bugs, fighting fires).

Common Mistakes

  • Zero Tech Debt Policy: Refusing to take on tech debt slows down time-to-market. Tech debt is a tool to buy speed. The mistake is forgetting to pay it back.

FAQ

How much capacity should go to tech debt?

Rule of thumb: 20% of sprint capacity should be dedicated to refactoring and paying down tech debt to maintain long-term velocity.