Managed IT pricing is notoriously hard to compare. One provider quotes per device, another per user, a third has three tiers with different names for the same things. Here's how the common models work and what actually drives the price.
The common pricing models
Per user, per month
The most common model today. You pay a flat monthly fee for each person, covering all their devices and support. It's simple to budget and scales with headcount. Watch for how part-time staff, shared mailboxes and service accounts are counted.
Per device, per month
Each laptop, desktop, server and sometimes network device has a monthly price. It can work for companies with many shared devices, but costs climb as people carry laptops, phones and tablets.
Tiered packages
Bronze, silver and gold, or similar. Lower tiers often cover monitoring only, with support billed hourly. Compare tiers by what's actually included, especially security tools and after-hours response.
Co-managed IT
For companies with internal IT staff, a co-managed agreement covers the tools, help desk overflow and specialist skills the internal team needs. It's usually priced per user or per device at a lower rate than fully managed.
Break-fix or hourly
No monthly fee; you pay when something breaks. It looks cheap until it isn't. The provider earns more when things go wrong, so there's no incentive to prevent problems.
What drives the price
- Security stack: whether EDR, 24/7 monitoring, email security, backup and training are included or extra.
- Support hours: business hours only, or after-hours and weekend coverage.
- Compliance: HIPAA, CMMC and similar requirements add documentation and controls.
- On-site needs: how often you need someone physically there.
- Servers and infrastructure: on-premise servers, virtualization hosts and complex networks add work.
- Licensing: some providers include Microsoft 365 licenses in the price; most bill them separately.
Questions to ask before you sign
- What's included in the monthly fee, and what's billed hourly?
- Are projects, onboarding and offboarding included?
- What are the response times by priority, and are they in the contract?
- Which security tools are included, and who monitors them after hours?
- Who owns the Microsoft 365 tenant, domain and admin accounts?
- What does it cost to leave, and what do we get when we do?
Get a real number
The only accurate price is one based on your environment. Our free IT assessment gives you a flat per-user quote along with a report on what needs attention first.