Editorial source pass: August 20, 2026. Primary vendor references: Microsoft Teams plans. Current-price claims on this page were reviewed against the linked primary source; the vendor checkout remains authoritative for a quote. Currency, region, taxes, usage and contract terms can change the final price.
Teams is technically "free" with Microsoft 365 — but the bundle math gets complicated fast. Here's a complete breakdown of every Teams plan, what's included, and how to calculate your real per-seat cost.
Microsoft offers Teams as a standalone product for organizations that don't need the full M365 suite. These are simpler options but lack Office apps and email hosting.
Annual commitment required. Monthly billing adds ~20%. Data verified May 2026.
Microsoft's public configurator varies by Teams and Copilot selection. Current US annual list prices include Business Basic with Teams at $7/user/month, Business Standard with Copilot and Teams at $23.50/user/month, and Business Premium with Copilot and Teams at $32/user/month. Business plans support up to 300 users.
Prices checked August 20, 2026. Select the exact Teams/Copilot variant and region on Microsoft's pricing page before purchasing.
Copilot is now included in some published Microsoft 365 Business bundles rather than always being a separate $30 add-on. Teams Phone Standard is listed at $10/user/month when paid yearly. Add-on eligibility and bundle pricing vary.
Microsoft has increased M365 pricing twice in three years, framing each increase around new AI and security capabilities.
With Copilot AI investments and ongoing EU regulatory pressure, M365 pricing is likely to continue evolving. Know before your next renewal.
Monitor Teams Free →Free forever for up to 3 monitors. No credit card required.
The bundle math is what makes Teams uniquely compelling — and uniquely complicated.
If your selected Microsoft 365 SKU includes Teams: Teams has no separate seat charge. Microsoft also sells without-Teams variants, so confirm the exact SKU.
If you're not on M365: Teams Essentials is $4/user/month on an annual commitment.
Copilot: Some current Microsoft 365 Business bundles include Copilot; do not add a universal $30 surcharge without checking the selected license.
| Offer | US list price | Context |
|---|---|---|
| Teams Free | $0 | Consumer/small-group feature set |
| Teams Essentials | $4/user/month | Paid yearly |
| Microsoft 365 Business Basic with Teams | $7/user/month | Paid yearly; up to 300 users |
| Teams Phone Standard | $10/user/month | Paid yearly; eligible base license required |
Related Reading
Use our interactive SaaS Pricing Calculator to see what your team's entire toolstack costs with Microsoft Teams and 35+ other tools. Get instant cost breakdowns by team size.
Try the Calculator Free →Did other tools raise prices too? Compare this tool with 50+ other companies to calculate your complete cost impact.
Check Other Companies → Calculate Your Stack Cost →Join 1000+ teams tracking 90+ SaaS tools on PricePulse. Get instant alerts when Microsoft raises prices, benchmark against competitors, and share negotiation data with your team.
Track Microsoft →