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← Back to Microsoft Teams Overview

Microsoft Teams Pricing & Plans 2026

Complete pricing guide for Microsoft Teams. Compare all plans, analyze costs, and find the perfect tier for your needs.

Try Microsoft Teams Free →Compare Plans ↓

Not sure if free is enough? See our Free vs Paid comparison →
Still deciding? Read our full verdict on whether Microsoft Teams is worth it →

🆓Free Tier Available
💎5 Paid Plans
⚡No Setup Fees

Choose Your Plan

Teams Free

$0/month

mo

  • ✓Chat, calling, and meetings for up to 100 participants
  • ✓10 GB team file storage plus 2 GB personal storage
  • ✓Real-time collaboration in Office for the web
  • ✓Unlimited app integrations
  • ✓Basic security and compliance features
Start Free Trial →

Microsoft Teams Essentials

$4/user/month

mo

  • ✓Unlimited meetings up to 30 hours
  • ✓Meeting recording and transcription
  • ✓10 GB cloud storage per user
  • ✓Standard security features
  • ✓Chat, video calling, file sharing
  • ✓Basic app integrations
Start Free Trial →
Most Popular

Microsoft 365 Business Basic

$6/user/month

mo

  • ✓Teams with unlimited meeting duration
  • ✓Web versions of Office apps (Word, Excel, PowerPoint)
  • ✓1 TB OneDrive cloud storage per user
  • ✓Exchange email with 50 GB mailbox
  • ✓SharePoint team sites
  • ✓Security and compliance features
Start Free Trial →

Microsoft 365 Business Standard

$12.50/user/month

mo

  • ✓All Business Basic features plus:
  • ✓Desktop versions of Office apps
  • ✓Meeting recording and transcription
  • ✓Attendee registration and reporting
  • ✓Custom email domain
  • ✓Advanced security features
Start Free Trial →

Microsoft 365 Business Premium

$22/user/month

mo

  • ✓All Business Standard features plus:
  • ✓Advanced security (threat protection, device management)
  • ✓Azure Information Protection
  • ✓Intune device management
  • ✓Advanced compliance features
  • ✓Windows 11 Business
Contact Sales →

Pricing sourced from Microsoft Teams · Last verified March 2026

Feature Comparison

FeaturesTeams FreeMicrosoft Teams EssentialsMicrosoft 365 Business BasicMicrosoft 365 Business StandardMicrosoft 365 Business Premium
Chat, calling, and meetings for up to 100 participants✓✓✓✓✓
10 GB team file storage plus 2 GB personal storage✓✓✓✓✓
Real-time collaboration in Office for the web✓✓✓✓✓
Unlimited app integrations✓✓✓✓✓
Basic security and compliance features✓✓✓✓✓
Unlimited meetings up to 30 hours—✓✓✓✓
Meeting recording and transcription—✓✓✓✓
10 GB cloud storage per user—✓✓✓✓
Standard security features—✓✓✓✓
Chat, video calling, file sharing—✓✓✓✓
Basic app integrations—✓✓✓✓
Teams with unlimited meeting duration——✓✓✓
Web versions of Office apps (Word, Excel, PowerPoint)——✓✓✓
1 TB OneDrive cloud storage per user——✓✓✓
Exchange email with 50 GB mailbox——✓✓✓
SharePoint team sites——✓✓✓
Security and compliance features——✓✓✓
All Business Basic features plus:———✓✓
Desktop versions of Office apps———✓✓
Attendee registration and reporting———✓✓
Custom email domain———✓✓
Advanced security features———✓✓
All Business Standard features plus:————✓
Advanced security (threat protection, device management)————✓
Azure Information Protection————✓
Intune device management————✓
Advanced compliance features————✓
Windows 11 Business————✓

Is Microsoft Teams Worth It?

✅ Why Choose Microsoft Teams

  • • Excellent value when bundled: Teams + Office apps from $6/month vs Slack Pro $7.25 + separate productivity suite
  • • Deep Microsoft ecosystem integration eliminates tool switching and data silos across productivity apps
  • • Enterprise-grade security and compliance built-in vs add-on costs for Slack Enterprise Grid
  • • Advanced meeting features including webinars, recording, transcription, and AI insights included
  • • Phone system replacement capabilities can eliminate separate telephony costs
  • • No per-guest charges for external collaboration vs Slack's guest billing model

⚠️ Consider This

  • • Overwhelming interface for simple communication needs vs Slack's streamlined chat experience
  • • Requires Microsoft 365 investment to realize value - standalone Teams Essentials lacks key integrations
  • • Performance issues in large organizations with thousands of users and complex team structures
  • • Less intuitive user experience compared to Slack, especially for non-Microsoft users
  • • Limited third-party integration ecosystem compared to Slack's extensive app marketplace

What Users Say About Microsoft Teams

👍 What Users Love

  • ✓Excellent value when bundled: Teams + Office apps from $6/month vs Slack Pro $7.25 + separate productivity suite
  • ✓Deep Microsoft ecosystem integration eliminates tool switching and data silos across productivity apps
  • ✓Enterprise-grade security and compliance built-in vs add-on costs for Slack Enterprise Grid
  • ✓Advanced meeting features including webinars, recording, transcription, and AI insights included
  • ✓Phone system replacement capabilities can eliminate separate telephony costs
  • ✓No per-guest charges for external collaboration vs Slack's guest billing model

👎 Common Concerns

  • ⚠Overwhelming interface for simple communication needs vs Slack's streamlined chat experience
  • ⚠Requires Microsoft 365 investment to realize value - standalone Teams Essentials lacks key integrations
  • ⚠Performance issues in large organizations with thousands of users and complex team structures
  • ⚠Less intuitive user experience compared to Slack, especially for non-Microsoft users
  • ⚠Limited third-party integration ecosystem compared to Slack's extensive app marketplace
  • ⚠Can be expensive for small businesses: $22/user for Premium vs simpler collaboration alternatives

Pricing FAQ

Should I choose Teams vs Slack for my business?

Choose Teams if you use Microsoft 365 apps (Word, Excel, Outlook) - it's essentially free with Business Basic ($6/month) vs Slack Pro ($7.25) + productivity apps separately. Choose Slack if you prioritize user experience and don't need deep Office integration.

What's the real total cost of Teams vs Slack for a 10-person team?

Teams via Microsoft 365 Business Basic: $720/year (includes Office apps). Slack Pro: $870/year + ~$720 for Google Workspace = $1,590/year total. Teams saves $870 annually when you factor in productivity suite costs.

Is Teams included free with all Microsoft 365 plans?

Yes, Teams is included with all Microsoft 365 Business and Enterprise plans. However, the standalone Teams Essentials ($4/month) lacks Office app integration that makes the full experience valuable.

Can Teams replace our phone system?

Yes, Teams can serve as a complete cloud-based phone system with calling, voicemail, auto-attendant, and number porting. This can eliminate separate PBX costs but requires careful planning for call quality and reliability.

Ready to Get Started?

AI builders and operators use Microsoft Teams to streamline their workflow.

Try Microsoft Teams Now →

More about Microsoft Teams

ReviewAlternativesFree vs PaidPros & ConsWorth It?Tutorial

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Slack Pricing

Team communication platform that organizes conversations into channels with AI-powered features, 2,000+ app integrations, and enterprise-grade security for modern distributed workforces.

Compare Pricing →