Microsoft Teams Pricing 2026
Complete pricing guide with plans, and cost analysis
Microsoft Teams costs $4/user/month for Microsoft Teams Essentials. Plans range from $4 to $22/user/month.
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All Microsoft Teams Plans & Pricing
| Plan | Monthly | Annual | Best For |
|---|---|---|---|
| Microsoft Teams Essentials | $4 /user/month | — | Small businesses that need Teams meetings without a full Microsoft 365 subscription |
| What's included at Microsoft Teams Essentials Best for: Small businesses that need Teams meetings without a full Microsoft 365 subscription
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| Microsoft 365 Business Basic | $7 /user/month | — | Businesses that need Teams plus business email and web Office apps |
| What's included at Microsoft 365 Business Basic Best for: Businesses that need Teams plus business email and web Office apps
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| Microsoft 365 Business Standard | $14 /user/month | — | Teams that need full desktop Office apps alongside collaboration and webinar tools |
| What's included at Microsoft 365 Business Standard Best for: Teams that need full desktop Office apps alongside collaboration and webinar tools
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| Microsoft 365 Business Premium | $22 /user/month | — | Organizations that need advanced security, compliance, and device management |
| What's included at Microsoft 365 Business Premium Best for: Organizations that need advanced security, compliance, and device management
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| Microsoft Teams Enterprise (E3/E5) | Contact Sales | Contact Sales | Large enterprises with complex compliance, voice, and security requirements |
| What's included at Microsoft Teams Enterprise (E3/E5) Best for: Large enterprises with complex compliance, voice, and security requirements
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View all features by plan (compare side-by-side)
Microsoft Teams Essentials
- Chat, calls, and video meetings
- Meetings up to 30 hours with 300 participants
- 10 GB cloud storage per user
- Meeting recordings with transcripts
- Real-time collaboration with file sharing and polling
Microsoft 365 Business Basic
- Full Microsoft Teams included
- Web and mobile versions of Word, Excel, PowerPoint, and Outlook
- Custom business email via Exchange
- 1 TB OneDrive storage per user
- Up to 300 users
Microsoft 365 Business Standard
- Everything in Business Basic
- Desktop versions of Word, Excel, PowerPoint, and Outlook
- Webinar hosting with attendee registration and reporting
- Microsoft Loop collaborative workspaces
- Video editing tools via Microsoft Clipchamp
Microsoft 365 Business Premium
- Everything in Business Standard
- Advanced threat protection and device management
- Information protection and compliance tools
- Conditional access and identity security
Microsoft Teams Enterprise (E3/E5)
- Unlimited users
- Advanced compliance and eDiscovery
- Enterprise voice and calling features
- Advanced analytics and reporting
What does Microsoft Teams actually cost you?
Drag the slider. Pick a tier. Watch your projected spend update live.
List price by tier (annualized, per seat)
Per-seat list price across Microsoft Teams's plans, annualized. Custom-priced tiers show a hatched bar.
Buyers actually pay a median of $399/yr for Microsoft Teams contracts (Vendr deal flow, n=344). That's a contract total — the more seats, the more leverage to negotiate down.
Microsoft Teams costs $4 to $22 per user/month as of June 2026, with 5 plans available. Plans: Microsoft Teams Essentials at $4/user/month, Microsoft 365 Business Basic at $7/user/month, Microsoft 365 Business Standard at $14/user/month, and Microsoft 365 Business Premium at $22/user/month. Enterprise pricing is available on request. The median contract is $399/year based on 344 verified purchases.
Use the interactive pricing calculator to estimate your exact cost based on team size and requirements.
- Free tier: No free tier available
Microsoft Teams offers 5 pricing tiers: Microsoft Teams Essentials, Microsoft 365 Business Basic, Microsoft 365 Business Standard, Microsoft 365 Business Premium, Microsoft Teams Enterprise (E3/E5). Paid plans include Microsoft Teams Essentials at $4/user/month, Microsoft 365 Business Basic at $7/user/month, Microsoft 365 Business Standard at $14/user/month. The Microsoft 365 Business Basic plan is businesses that need teams plus business email and web office apps.
Compared to other communication software, Microsoft Teams is positioned at the budget-friendly price point.
- Median contract: $399/yr from 344 purchases 0
How much does Microsoft Teams cost?
Microsoft Teams Pricing Overview
Microsoft Teams has 5 pricing plans ranging from $4 to $22/user/month. The Microsoft Teams Essentials plan costs $4/user/month, best for small businesses that need teams meetings without a full microsoft 365 subscription. The Microsoft 365 Business Basic plan costs $7/user/month, best for businesses that need teams plus business email and web office apps. The Microsoft 365 Business Standard plan costs $14/user/month, best for teams that need full desktop office apps alongside collaboration and webinar tools. The Microsoft 365 Business Premium plan costs $22/user/month, best for organizations that need advanced security, compliance, and device management. The Microsoft Teams Enterprise (E3/E5) plan requires contacting sales for a custom quote and is designed for large enterprises with complex compliance, voice, and security requirements.
The median Microsoft Teams customer pays $399/year based on 344 verified purchases.
This pricing was last verified in June 9, 2026 from 1 independent source.
Microsoft Teams paid plans cost $4–$22 per user per month as of 2026. The standalone Teams Essentials plan starts at $4/user/month. Microsoft 365 bundles that include Teams start at $7/user/month (Business Basic), $14/user/month (Business Standard), and $22/user/month (Business Premium). Enterprise E3/E5 plans are quoted by sales.
Microsoft Teams is the collaboration hub within the Microsoft 365 ecosystem, combining persistent chat, video meetings, file storage, and integrations with Office apps in one workspace. A free plan is also available with limited meeting duration and storage, though it is not a paid tier.
For organizations already subscribed to Microsoft 365, Teams is included at no additional cost. The main pricing decision is between the standalone Teams Essentials plan and the Microsoft 365 Business bundles, which add business email, Office apps, and significantly more storage at a modest price step.
How Microsoft Teams Pricing Compares
Compare Microsoft Teams pricing against top alternatives in Communication.
Compare Microsoft Teams vs Alternatives
Before committing to Microsoft Teams, compare pricing with these 3 alternatives in the same category.
What Companies Actually Pay for Microsoft Teams
The median Microsoft Teams buyer pays $399/year based on 344 verified purchase transactions.
How Microsoft Teams Pricing Compares
| Software | Starting Price | Top Price |
|---|---|---|
| Microsoft Teams | $4/user/month | $22/user/month |
| Discord | Free | $9.99/user/month |
| Google Meet | Free | $21.6/user/month |
| Loom | Free | $20/user/month |
| RingCentral | $30/user/month | $45/user/month |
| Slack | Free | $15/user/month |
Detailed pricing comparisons:
How to Negotiate Microsoft Teams Pricing
Microsoft Teams contracts are negotiable. These 3 tactics are sourced from real buyer experiences and procurement specialists.
Microsoft Teams is included in all Microsoft 365 Business plans (from $6/user/month). If your organization needs email (Exchange), Office apps, or SharePoint, the M365 bundle includes Teams at no incremental cost. Never pay for Teams standalone if you can bundle.
Microsoft 365 pricing pageMicrosoft Enterprise Agreement customers typically get Teams + M365 E3 at $22-28/user/month (vs $36 list), including 15-20% EA discount. Teams Essentials standalone at $4/user/month is only worth purchasing if you specifically don't want the full M365 suite.
Microsoft Enterprise Agreement pricingMicrosoft Teams Phone (calling plan) at $8-15/user/month is a frequent upsell. Compare it against RingCentral, Zoom Phone, and 8x8 pricing before committing — telco competition keeps Teams Phone pricing highly negotiable, with EA customers often getting 30-40% off list.
Teams Phone competitor pricing comparisonMicrosoft Teams Pricing FAQ
01 How much does Microsoft Teams cost?
Microsoft Teams paid plans range from $4 to $22 per user per month. Teams Essentials (standalone) is $4/user/month. Microsoft 365 Business Basic, which bundles Teams with business email and web Office apps, is $7/user/month. Business Standard with desktop Office apps is $14/user/month, and Business Premium with advanced security is $22/user/month.
02 Is Microsoft Teams free?
Microsoft offers a free version of Teams with chat, video meetings capped at 60 minutes, up to 100 meeting participants, and 5 GB of storage per user. It does not include meeting recordings, business email, or Office apps. Paid plans start at $4/user/month for Teams Essentials.
03 What is the cheapest paid Microsoft Teams plan?
The cheapest paid Teams plan is Microsoft Teams Essentials at $4/user/month. It includes 30-hour meetings with up to 300 participants, 10 GB cloud storage per user, meeting recordings with transcripts, and real-time collaboration features. It does not include Office apps or business email.
04 What is included in Microsoft 365 Business Basic?
Microsoft 365 Business Basic costs $7/user/month and includes the full Microsoft Teams experience, web and mobile versions of Word, Excel, PowerPoint, and Outlook, custom business email via Exchange, and 1 TB of OneDrive storage per user. It supports up to 300 users.
05 How does Microsoft Teams pricing compare to Zoom?
Microsoft Teams Essentials at $4/user/month is notably cheaper than Zoom Pro, which starts at a higher price per user. Additionally, if your organization uses Microsoft 365 Business Basic ($7/user/month), Teams is included alongside business email and Office apps at no incremental cost over the base subscription.
06 Are there enterprise Microsoft Teams plans?
Yes. Microsoft offers enterprise Teams plans (E3/E5) with custom pricing quoted by sales. These include unlimited users, advanced compliance and eDiscovery tools, enterprise voice and calling features, and advanced analytics. Contact Microsoft sales for enterprise pricing.
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