Microsoft Copilot Pricing 2026: Personal, Family and Business Plans
Microsoft Copilot is free as an app, comes with Microsoft 365 from $9.99 a month, and costs $21 to $30 per user for business. Here is which plan to choose.
On this page
- Key takeaways
- Microsoft Copilot plans and prices at a glance
- Free Microsoft Copilot: what you get for $0
- Microsoft 365 Personal, Family and Premium explained
- What happened to Copilot Pro?
- Microsoft 365 Copilot for business
- Hidden costs and the real price of Copilot
- Which Microsoft Copilot plan should you choose?
- Microsoft Copilot vs ChatGPT, Gemini and Claude on price
- Frequently asked questions
- Final verdict on Microsoft Copilot pricing
Microsoft Copilot pricing in 2026 starts with a free Copilot app, then moves into Microsoft 365 subscriptions: Personal at $9.99/month, Family at $12.99/month and Premium at $19.99/month, all of which include Copilot inside Word, Excel, PowerPoint and Outlook. For work, Microsoft 365 Copilot Business costs $21 per user per month on annual billing (shown at an $18 promo price) and the enterprise Microsoft 365 Copilot add-on costs $30 per user per month paid yearly.
The naming is confusing because “Copilot” covers a free chatbot, a feature inside consumer Office plans and a paid business add-on. This guide untangles each one, shows the real annual cost, flags what changed (goodbye Copilot Pro) and helps you pick the right plan for home or work.
Key takeaways
- The free Copilot web and mobile app costs $0 but has daily usage limits and does not run inside the desktop Office apps.
- Microsoft 365 Personal ($9.99/month or $99.99/year) and Family ($12.99/month or $129.99/year) include Copilot in the Office apps. On Family, only the subscription owner gets the AI features.
- Microsoft 365 Premium ($19.99/month or $199.99/year) offers “extensive AI usage” for up to 6 people and has effectively replaced Copilot Pro for new buyers.
- Businesses pay $21/user/month (annual) for Copilot Business or $30/user/month for the enterprise add-on, on top of a qualifying Microsoft 365 license.
Microsoft Copilot plans and prices at a glance
The table below covers the consumer and business options, using Microsoft’s official pages where available.
| Plan | Monthly price | Annual price | People | Copilot access |
|---|---|---|---|---|
| Copilot (free) | $0 | $0 | 1 | Web and mobile chat with daily limits |
| Microsoft 365 Personal | $9.99 | $99.99 | 1 (up to 5 devices) | Copilot in Word, Excel, PowerPoint, Outlook |
| Microsoft 365 Family | $12.99 | $129.99 | Up to 6 | Copilot for the subscription owner only |
| Microsoft 365 Premium | $19.99 | $199.99 | Up to 6 | “Extensive AI usage” |
| Microsoft 365 Copilot Business | $25.20/user (monthly billing) | $21/user/month ($18 promo) | Per user | Copilot in apps, Researcher and Analyst agents |
| Microsoft 365 Copilot (enterprise) | $31.50/user (annual commitment) | $30/user/month | Per user | Full enterprise Copilot add-on |
Consumer prices come from Microsoft’s Microsoft 365 plan comparison page. Business prices are on the Microsoft 365 Copilot pricing page.
Free Microsoft Copilot: what you get for $0
The free Copilot app on the web, Windows and mobile lets you chat, ask questions and generate images. Third-party reviewers report that it has daily limits on usage and image generation, and that it does not work inside the desktop Office apps. So you can ask free Copilot to draft an email, but you cannot open Word and have it rewrite your document in place.
Who it is for: casual users who want a free AI chatbot and are already in the Microsoft ecosystem. Who should skip it: anyone who wants AI inside their documents and spreadsheets. If you are shopping for a free assistant, our guide to the best AI chatbots in 2026 compares Copilot with ChatGPT, Claude and Gemini, and our list of best free AI tools covers other no-cost options.
Microsoft 365 Personal, Family and Premium explained
For home users, Copilot now comes bundled with Microsoft 365. You pay for Office, storage and AI together.
Microsoft 365 Personal: $9.99/month or $99.99/year
Personal covers one person on up to 5 devices and includes Copilot in the Office apps. You can ask Copilot to summarize a long Word document, suggest formulas in Excel, build slides from notes in PowerPoint, or draft replies in Outlook.
Who it is for: individuals, students and freelancers who already use Office and want occasional AI help inside it. Paying yearly costs $99.99 instead of $119.88 (12 x $9.99), a saving of $19.89. Our guide to annual vs monthly AI plans explains when committing for a year makes sense.
Microsoft 365 Family: $12.99/month or $129.99/year
Family covers up to 6 people and includes 6 TB of total storage. The catch: Microsoft says the AI features are available only to the subscription owner. Other family members get Office and storage, but not Copilot.
Who it is for: households that mainly want shared Office and storage, where one person needs Copilot. Yearly billing costs $129.99 versus $155.88 on monthly, a saving of $25.89.
Watch out: Do not buy Family expecting every member to get Copilot. Only the owner does. If several people in your home want AI features, look at Premium instead.
Microsoft 365 Premium: $19.99/month or $199.99/year
Premium also covers up to 6 people and is described by Microsoft as offering “extensive AI usage.” It sits at the top of the consumer range and is the plan Microsoft now points heavy AI users toward.
Who it is for: power users and creators who lean on Copilot daily in Word, Excel and PowerPoint. Annual billing costs $199.99 versus $239.88 monthly, a saving of $39.89.
How many AI credits do consumer plans include?
Microsoft’s consumer plans have historically used a monthly AI credit allowance on Personal and Family. We could not verify the current 2026 figure on an official page, because Microsoft’s support article was unavailable, so we are not quoting a number here. Check your account dashboard for your live balance, and treat older “60 credits a month” figures with caution.
What happened to Copilot Pro?
Copilot Pro, the old $20/month add-on, was reportedly discontinued for new buyers in late 2025 and replaced by Microsoft 365 Premium, according to reporting from PCWorld and other outlets. Microsoft’s current comparison page lists Premium rather than Copilot Pro. If you still have Copilot Pro, check your account for renewal options. If you are buying new, Premium at $19.99/month is the equivalent tier and also bundles Office and storage.
Microsoft 365 Copilot for business
Business Copilot is priced per user and requires a qualifying Microsoft 365 license. There are two main routes.
Microsoft 365 Copilot Business: $21/user/month (annual)
This is the small and mid-size business add-on. The annual list price is $21 per user per month, shown at an $18 promotional price at the time of writing (the promo may end). On monthly billing it costs $25.20 per user. It includes Copilot inside the Office apps plus the Researcher and Analyst agents, which handle multi-step research and data analysis tasks.
Microsoft also sells bundles that combine a business license with Copilot:
| Bundle | Annual billing | Monthly billing |
|---|---|---|
| Business Standard with Copilot | $23.50/user/month | $28.20/user/month |
| Business Premium with Copilot | $32.00/user/month | $38.40/user/month |
Microsoft 365 Copilot (enterprise): $30/user/month
The enterprise add-on costs $30 per user per month paid yearly, or $31.50 per user per month paid monthly with an annual commitment. It needs a qualifying Microsoft 365 enterprise license. See the Microsoft 365 Copilot enterprise page for eligible licenses.
Copilot Chat for business users
Third-party guides report that Microsoft 365 Copilot Chat is free for eligible Microsoft 365 business subscriptions. If your company already pays for Microsoft 365, check with your admin before buying seats; basic chat may already be available. Our guide to when AI team plans actually save money helps you decide who needs a paid seat.
Hidden costs and the real price of Copilot
- The base license. Copilot Business and enterprise Copilot are add-ons. A 10-person company paying $21 per user adds $2,520 a year for Copilot alone (10 x $21 x 12), on top of its Microsoft 365 licenses.
- Monthly billing premium. Copilot Business on monthly billing is $25.20 versus $21 annual, 20 percent more. Over a year that is $302.40 versus $252 per user.
- Promo expiry. The $18 Copilot Business price is promotional. Budget on $21 so you are not surprised at renewal.
- Taxes. Listed prices exclude tax, which varies by country.
Save money: Only buy Copilot seats for people who will use them daily. Roll it out to a pilot group first, measure time saved, then expand. Our guide on measuring ROI from AI tools shows how to run that pilot.
Which Microsoft Copilot plan should you choose?
| You are… | Pick | Why |
|---|---|---|
| A casual user who just wants a chatbot | Free Copilot | No cost, good for quick questions and images |
| A student or freelancer using Office | Microsoft 365 Personal | Copilot inside the apps for $99.99/year |
| A family where one person needs AI | Microsoft 365 Family | Office and 6 TB for everyone, Copilot for the owner |
| A heavy AI user at home | Microsoft 365 Premium | “Extensive AI usage” and the Copilot Pro replacement |
| A small business on Microsoft 365 | Copilot Business | $21/user annual with Researcher and Analyst agents |
| A large enterprise | Microsoft 365 Copilot | $30/user enterprise add-on |
Pros
- Copilot works directly inside Word, Excel, PowerPoint and Outlook
- Consumer plans bundle Office, storage and AI at a fair price
- Annual billing saves $19.89 to $39.89 on consumer plans
- Business agents like Researcher and Analyst add real depth
Cons
- Confusing naming across free, consumer and business Copilot
- Family plan AI is limited to the owner
- Consumer AI credit limits are not clearly published
- Business Copilot is an add-on on top of existing licenses
Microsoft Copilot vs ChatGPT, Gemini and Claude on price
Microsoft 365 Premium at $19.99/month is priced close to ChatGPT Plus ($20), Google AI Pro ($19.99) and Claude Pro ($20). The difference is what comes bundled. Copilot plans include Office apps and storage, Google AI Pro includes 5 TB of storage and Gemini in Gmail and Docs, and ChatGPT and Claude focus on the assistant itself. Compare the details in our ChatGPT pricing guide, Gemini pricing guide and Claude pricing guide. If your team lives in Google Workspace instead, read how to use Gemini in Gmail, Docs and Sheets. For a broader look at value, see which AI subscriptions are actually worth paying for.
Frequently asked questions
Is Microsoft Copilot free?
Yes, the Copilot web and mobile app is free to use for chat and image generation, with daily usage limits. It does not work inside the desktop Office apps, however. To use Copilot inside Word, Excel, PowerPoint and Outlook at home, you need Microsoft 365 Personal, Family or Premium, starting at $9.99 per month or $99.99 per year.
How much is Microsoft Copilot per month?
For home users, Copilot comes with Microsoft 365 Personal at $9.99/month, Family at $12.99/month or Premium at $19.99/month. For businesses, Microsoft 365 Copilot Business costs $21 per user per month on annual billing or $25.20 monthly, and the enterprise Microsoft 365 Copilot add-on costs $30 per user per month paid yearly.
Is Copilot Pro still available?
Copilot Pro, the old $20/month add-on, was reportedly discontinued for new buyers in late 2025, and Microsoft now lists Microsoft 365 Premium ($19.99/month) as its top consumer AI plan. Premium also bundles the Office apps and storage for up to 6 people. Existing Copilot Pro subscribers should check their account for renewal details.
Does Microsoft 365 Family include Copilot for everyone?
No. Microsoft 365 Family covers up to 6 people with Office apps and 6 TB of total storage, but the AI features are available only to the subscription owner. If several people in your household want Copilot inside the Office apps, Microsoft 365 Premium, which offers extensive AI usage for up to 6 people, is the better fit.
Is Microsoft 365 Copilot worth it for small businesses?
It can be, if your team spends hours in Outlook, Word, Excel and Teams. At $21 per user per month on annual billing, it pays off when each user saves a few hours monthly. Start with a pilot group, measure results, and check whether free Copilot Chat already covers lighter users before buying seats for everyone.
Final verdict on Microsoft Copilot pricing
For most home users, Microsoft 365 Personal at $99.99/year is the smart entry point: you get Office, storage and Copilot in the apps for less than many standalone AI subscriptions. Heavy AI users or households that want AI for several people should step up to Premium. Businesses should pilot Copilot Business at $21 per user before rolling it out widely, and larger organizations should budget $30 per user for the enterprise add-on. Microsoft changes Copilot plans and promos frequently, so confirm the latest prices on Microsoft’s official site before you buy.
Related reading:
Pricing and features are checked at the time of writing and can change. Some links may be affiliate links, which never affect our verdicts.
