Microsoft 365 2026 Price Changes: How Businesses Can Prepare and Save

Today, Microsoft 365 powers the daily work of countless businesses. From email and file sharing to collaboration, identity management, and security, your team relies on it.

So when Microsoft announces a list price increase for many Microsoft 365 and Office 365 plans, effective July 1, 2026, it is more than a billing update. It is a strategic moment for organizations to ensure their licensing, security, and IT infrastructure still support the way they work.

As a managed service provider with deep Microsoft 365 expertise, Setton Consulting helps businesses navigate these moments with clarity and confidence.

Understanding the 2026 Pricing Update

The upcoming 2026 pricing update affects a broad set of Microsoft 365 and Office 365 plans. Any renewal that falls after July 1 will reflect the new list prices.

For businesses with a mix of plans, from frontline users to full enterprise licenses, the impact may vary across the organization. While Microsoft points to platform improvements such as security, AI features, and management controls as reasons for the increase, many businesses are already paying for capabilities they do not actively use.

Beyond the Price Tag: Why This Matters

A price increase naturally raises concerns, but it also forces a valuable question:

Are you paying for what you really need?

Over time, many companies accumulate licenses, security tools, and third-party software that overlap or go unused. This often happens because the business evolves, roles change, or new tools are deployed without a full review.

This moment lets you:

• Reassess whether licensed features match user needs

• Determine if security features are properly configured and used

• Eliminate redundant tools and consolidate services, possibly saving money while improving security
  
  

Steps to Take Before Your Next Renewal

At Setton Consulting, we recommend starting with clarity, not complexity.

1. Align Licenses to Actual Roles

Categorize users by role, such as admin, general staff, frontline, and remote teams. Assign licenses based on real needs, not old assumptions.

2. Review Security Settings

Microsoft 365 includes security and compliance tools that many businesses have licensed but never fully configured. Enabling and tuning these tools, especially around identity and access, can significantly reduce risk while preserving value.

3. Identify Redundancy and Waste

If you are running third-party backup, security, or collaboration tools in addition to Microsoft 365, now is a good time to evaluate overlap. Decide whether to consolidate, replace, or remove redundant services.

How Setton Consulting Can Support You

Setton Consulting helps businesses maximize Microsoft 365 value while minimizing cost and risk. Our services include:

• Expert Microsoft 365 guidance and setup for Teams, SharePoint, OneDrive, Exchange, identity, security, and compliance

• Proactive IT support and monitoring to keep systems secure and operational

• Cybersecurity-first approach where protection is built into every layer

• Transparent, flat-rate pricing with predictable monthly costs

• Strategic IT and renewal planning to help you prepare for pricing changes and future growth
  
  

Take Control Before 2026

July 1, 2026, will arrive faster than many expect. Businesses that wait until renewal time often end up scrambling, overpaying, or making rushed decisions.

Those who plan now, align licensing with real usage, and streamline their IT and security stack will enter 2026 with confidence and control.

If you want to reduce the impact of the Microsoft 365 price increase while strengthening your security at the same time, Setton Consulting is ready to help you take the next smart step forward.