Microsoft. saas.
Microsoft Entra ID pricing 2026
Most companies already pay for Entra ID without realising. If you are on M365 E3 you have P1 included; E5 includes P2. Calculate the marginal cost of upgrading from Free to P1 / P2 only if you are not already on those M365 tiers.
Bundled in
M365 E3 (includes P1) / M365 E5 (includes P2). If you are already on that bundle, marginal cost is $0.
Quick answers
- How much does Azure AD / Entra ID MFA cost?
- Multi-factor authentication is included in Entra ID P1 at $7/user/month; there is no separate per-user MFA licence to buy. Basic MFA through security defaults is free on the Entra ID Free tier, and MFA is already bundled in Microsoft 365 E3 (P1) and E5 (P2).
- How much is Azure PIM (Privileged Identity Management)?
- PIM is a Premium P2 feature. It requires Entra ID P2 at $10/user/month, the Entra Suite at $12/user/month, or Microsoft 365 E5. Microsoft does not sell PIM as a standalone per-user SKU.
- How much does Azure SSO cost?
- Single sign-on to cloud SaaS apps is free with any Microsoft 365 subscription (Entra ID Free tier). SSO to on-premises and legacy apps, plus conditional access, needs Entra ID P1 at $7/user/month.
- How much does Azure AD B2C / Entra External ID cost?
- Entra External ID (the successor to Azure AD B2C) is free for the first 50,000 monthly active users, then about $0.03 per MAU on the Azure list price. SMS-based MFA is billed separately per message and varies by country.
Tier breakdown
| Tier | $/user/mo | Annual min | Notes |
|---|---|---|---|
| Free | Free | . | SSO to SaaS apps included with any Microsoft 365 subscription |
| P1 | $7 | . | Conditional access, MFA, SSO to on-prem apps |
| P2 | $10 | . | Identity Protection, Privileged Identity Management |
| Suite | $12 | . | P2 + Identity Governance + Verified ID + Internet Access |
| ID Governance add-on | $7 | . | Standalone governance add-on if not on Suite |
Pricing model: Per-user. Free tier covers basic SSO; paid tiers add MFA, conditional access, governance.
What it is best for
Any organisation already on Microsoft 365 E3 or E5. Marginal cost is $0.
Hidden costs
- Entra External ID (CIAM) is free for the first 50,000 monthly active users, then billed per MAU ($0.03/MAU Azure list, checked August 2026); SMS-based MFA and premium add-ons are extra.
- Privileged Identity Management requires P2 or the Suite license.
- Cross-tenant access and B2B collaboration above the free MAU pool incur per-MAU billing.
Feature support
YSAML 2.0
YOIDC
YSCIM
YMFA
YPasskeys
YConditional access
YLifecycle mgmt
YAudit logs
YDevice trust
YAPI access
YB2B federation
YGovernance
Source
https://www.microsoft.com/en-us/security/business/microsoft-entra-pricingVerified 2026-08-13. Status: live-verified.
Compare with other IdPs
Last verified August 2026.