Quick Answer
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Microsoft Teams costs Free to $23.50 per user/month as of November 2026, with 6 plans available including a free tier. Plans: Microsoft Teams (free) (free), Free version of Teams (free), Microsoft Teams Essentials at $4/user/month (billed annually), Microsoft 365 Business Basic at $7/user/month, and Microsoft 365 Business Standard with Copilot at $23.50/user/month. Custom pricing is available on request. Pricing depends on your chosen tier, contract length, and negotiated discounts.

Use the interactive pricing calculator to estimate your exact cost based on team size and requirements.

  • Free tier: Yes

Microsoft Teams offers 6 pricing tiers: Microsoft Teams (free), Free version of Teams, Microsoft Teams Essentials, Microsoft 365 Business Basic, Microsoft 365 Business Standard with Copilot, Microsoft Teams Enterprise (E3/E5). A free plan is available. Paid plans include Microsoft Teams Essentials at $4/user/month (billed annually), Microsoft 365 Business Basic at $7/user/month, Microsoft 365 Business Standard with Copilot at $23.50/user/month.

Yes, Microsoft Teams offers a freemium plan as of November 2026. The free tier includes 4 features with limits on meeting length and participants per meeting. Paid plans start at $7/user/month (Microsoft 365 Business Basic). Pricing verified from 2 sources by CostBench.

Freemium

Microsoft Teams offers a freemium model with limited features; upgrade to unlock more.

What's Included in the Free Plan

  • Group calls and meetings up to 60 minutes
  • Up to 100 participants per meeting
  • 5 GB cloud storage per user
  • Available for small business and non-profit use

What's NOT Included (Paid Only)

  • Core identity and access management for up to 300 users
  • Web and mobile versions of Word, Excel, PowerPoint, and Outlook
  • Custom business email
  • Chat, call, and meet with Microsoft Teams
  • 1 TB of cloud storage per user
  • AI chat experience with web grounding and writing assistance
  • Automatic spam and malware filtering
  • Anytime phone and web support

Free Plan Limits

Limit Free Plan Paid Plans
Meeting length 60 minutes
Participants per meeting 100
Cloud storage 5 GB per user

You'll Need to Upgrade When...

  • You exceed the user limit
  • You need features like Core identity and access management for up to 300 users or Web and mobile versions of Word, Excel, PowerPoint, and Outlook
  • You require premium support or SLA guarantees
  • You need to remove branding or watermarks
  • You need advanced integrations or API access

Hidden Restrictions on Free Plan

  • ! Microsoft Teams branding may appear on your content or communications
  • ! Support is limited to community forums or email with longer response times
  • ! Export options may be restricted or include watermarks
  • ! API access is typically limited or not available
  • ! Advanced reporting and analytics require paid plans

Free vs Paid: Which Do You Need?

Free Plan is Enough If...

  • You're an individual or very small team
  • You need only basic features
  • You don't mind usage limits
  • Branding on output is acceptable
  • Community support is sufficient

Free vs Microsoft 365 Business Basic Plan Comparison

Microsoft Teams (free) $0
Features 4 included 8+ included
Support Community/Email Priority Support
Branding Microsoft Teams branding Your branding
Best For Getting started at no cost Businesses that need Teams plus business email and web Office apps

Frequently Asked Questions

01 Is Microsoft Teams free?

Yes, Microsoft Teams offers a freemium plan with 4 core features included. However, there are limits on meeting length, participants per meeting that may require upgrading.

02 What's included in Microsoft Teams's free plan?

Microsoft Teams's free plan includes: Group calls and meetings up to 60 minutes, Up to 100 participants per meeting, 5 GB cloud storage per user, Available for small business and non-profit use. Key limits include Meeting length: 60 minutes, Participants per meeting: 100, Cloud storage: 5 GB per user.

03 What's NOT included in Microsoft Teams's free plan?

The free plan excludes: Core identity and access management for up to 300 users, Web and mobile versions of Word, Excel, PowerPoint, and Outlook, Custom business email, Chat, call, and meet with Microsoft Teams, 1 TB of cloud storage per user. You'll also have Microsoft Teams branding and limited support options.

04 When should I upgrade from Microsoft Teams's free plan?

Consider upgrading when: you hit user or storage limits, need features like Core identity and access management for up to 300 users or Web and mobile versions of Word, Excel, PowerPoint, and Outlook, require premium support, or want to remove branding. The cheapest paid plan starts at $7/user/month.

05 Is Microsoft Teams's free plan really free forever?

Yes, Microsoft Teams's free plan is available indefinitely with no time limit. However, feature and usage limits may restrict what you can do without upgrading to a paid plan.

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