Microsoft recently announced pricing changes for Microsoft 365 and Office 365 commercial suites, set to take effect on July 1, 2026.
As your organization plans its IT budget, understanding these price increases and how they will affect you will be important. Many, but not all, licenses will see price increases. We’ve summarized the price changes below.
Detailed Comparison: Current Vs. New Microsoft 365 Pricing
| Suite Plan | Current | New | Trend |
| Business Basic | $6.00/mo | $7.00/mo | + $1.00/mo |
| Business Standard | $12.50/mo | $14.00/mo | + $1.50/mo |
| Business Premium | $22.00/mo | $22.00/mo | No Change |
| Office 365 E1 | $10.00/mo | $10.00/mo | No Change |
| Office 365 E3 | $23.00/mo | $26.00/mo | + $3.00/mo |
| Microsoft 365 E3 | $36.00/mo | $39.00/mo | + $3.00/mo |
| Microsoft 365 E5 | $57.00/mo | $60.00/mo | + $3.00/mo |
| Microsoft 365 F1 | $2.25/mo | $3.00/mo | + $0.75/mo |
| Microsoft 365 F3 | $8.00/mo | $10.00/mo | + $2.00/mo |
How Will I Be Affected?
For most, the new pricing will take effect upon your annual renewal date. For example, if your renewal date is November 1st, you will continue paying the current lower prices through October 31st. On renewal, you will be subject to the new pricing structure. Additionally, any new licenses purchased after July 1, 2026, will be subject to the higher prices, regardless of renewal date.
Note for Nonprofit & Education: Nonprofit & Education prices are also scheduled to increase at the same time as the standard prices highlighted above.
Expert Guidance from LeeShanok Network Solutions
LeeShanok Network Solutions is here to help you optimize your Microsoft environment and ensure you are getting the maximum ROI from your subscriptions.
If you have questions regarding how these price adjustments will affect your specific organization, please contact your dedicated LeeShanok account manager today.