My main requirement is a desk and a comfortable  chair.  It is nice if you can afford the space for a second chair, where  you can have a friend sit and talk to you.  I also require file  cabinets to store all of the papers that I have accumulated.  My plan is  to scan them but I still need a place to store everything in the mean  time, plus somewhere to store original documents that I plan on keeping  long-term. 
You will obviously need a trash can and a stapler, a  ruler for holding your place in a document, maybe a magnifying glass  and some sticky notes.  I also keep a few maps handy, both modern and  historical, from the areas I am researching.  I also have any genealogy  reference books that I own, within arms reach.  If you cannot get to  something easily, you might as well not have it at all.
I have my scanner, and an external hard drive to back up my laptop at least once a month.  I also use a free service called Dropbox  that allows me to upload files online that I can view on any computer;  anywhere I can get an Internet connection.  This is great for using the  same files on your home computer, work computer, the computer at the  local archives, even on your iPhone!  I also use Dropbox as an additional backup for my critical files, to keep a safe copy outside of my house.
Other things...you always need basic office  supplies; pencils, paper, staples, paperclips, file folders, etc.   Stepping up from basic supplies, I actually bought a rubber stamp with  my address, website address, email, etc. so that I can just stamp copies  that I send other people, so they know where it came from.  This saves  time and helps give credit where credit is due.
I have wireless internet set up in my house already  and my laptop connects to it automatically.  I try to plug my laptop  into a surge protector when I use it at home, just in case of a power  surge.  It might seem silly but I also like to keep coasters and paper  towels nearby, to both prevent and clean up any drink spillage!  You  would be surprised how many times I knock over my Dr. Pepper!
Two things I do not recommend are televisions and  radios.  It is very easy to make mistakes when your attention is divided  so I actually like to do my genealogy work in silence.  I typically  work after my wife and kids go to bed so that my attention is pretty  much undivided.  As a matter of fact, I turn off my email program so  that I do not get interrupted by incoming mail!  That might seem extreme  but quiet and focus are keys to being a good genealogist.  Why else do  you think the librarian shushes you at the library? 
As for fun stuff, I have a glass display case where  I showcase some of the physical items I have discovered over the years,  like my great-grandmother's broach.  I trade the items in and out once  in awhile to keep things interesting.  I also have a few family photos,  my college diploma and my wife's wedding portrait to cover the  walls...all things that inspire me.  There are also a few autographed  football helmets that I have collected over the years...I was a big Joe  Montana fan despite loving the Redskins.
Keep your space light and airy, paint the walls a  soothing color...mine are a golden yellow and it works great with the  room.  The most important thing is to make a space that you want to be  in, somewhere to serve as your retreat.  You should want to be in the  space, it should be functional, and everything you need should be within  reach.
You do not have to have a huge area, or spend a  bunch of money, to make a great genealogy work space.  As a matter of  fact, the only money I spent in my new office was for the paint and a  trash can.  I already owned everything else; I just arranged it in the  proper fashion.  I am still a little short on time to use it right now,  but I am sure that my new office will inspire many discoveries to come!
 
 
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