Price increases and and a push towards annual subscriptions are forcing small businesses to reevaluate which Microsoft 365 subscriptions.

In late 2021, Microsoft announced that they would be increasing their prices for the following Microsoft 365 plans:

• Microsoft 365 Business Basic (from $5 to $6 per user)
• Microsoft 365 Business Premium (from $20 to $22 per user)
• Microsoft 365 E3 (from $32 to $36 per user)
• Office 365 E1 (from $8 to $10 per user)
• Office 365 E3 (from $20 to $23 per user)
• Office 365 E5 (from $35 to $38 per user)

Then, in February of 2022, Microsoft announced the New Customer Experience (NCE), which gives customers 3 options to choose from when paying for Microsoft 365 subscriptions:

1. Month to Month
2. Annual
3. Three-Year

Click here to view the most frequently asked questions and click here to read about the pros and cons of the new options for Microsoft 365 subscribers.

Now that both initiatives are live and in full affect, a growing number of Microsoft 365 subscribers are left wondering if they are still on the right plan. If you fall into that camp, you’ve come to the right place.

Choosing the right Microsoft 365 plan typically depends on a

When a business is trying to determine which Microsoft 365 plan your business should use, consider the following questions:

Which Microsoft plan(s) are you currently using?

Microsoft is notorious for changing the names of its software packages. Heck, they even went as far as doing away with it’s famed Office 365 plan and renamed it Microsoft 365. Point being, it’s recommended to examine what you currently have first before going any further.

Which applications your business can (and cannot) live without?

Most SMBs would be dead in their tracks without Outlook, Word, Excel, and PowerPoint. Other organizations may have downsized during the pandemic and no longer have a need for SharePoint.

Do all employees require the same subscription?

Coming off the heels of the NCE announcement, this is an important question for businesses (particularly those with seasonal or part-time employees) will want to address. Because customers can have a combination of monthly and annual term subscriptions, those with seasonal or temporary users may choose purchase these monthly whereas it would probably make more sense to purchase full-time employees annually.


Selecting an IT provider is one of the most significant decisions a business make, especially in today’s business climate where we rely on technology more than ever. Our goal is to provide you with all of the information you need to enable you to make a smart technology investment, whether it’s with us or one of our competitors.

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