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mguenter's avatar
mguenter
Occasional Reader
Sep 28, 2026

Changing Microsoft 365 billing frequency from monthly to yearly unexpectedly increased the price

Hello everyone,

I would like to raise an issue with Microsoft 365 Business Standard that I find very difficult to understand and even harder to explain to my customer.

I manage two Microsoft 365 Business Standard licenses for a customer.

The pricing history was as follows:

  • Until May 2026: €23.40/month total for 2 users
  • From June 2026: €21.66/month total for 2 users
  • This means the annual cost at the latest monthly rate was €259.92/year

On September 28, 2026, I changed only the billing frequency from monthly to yearly.

During this process, I was not shown any clear warning that the actual subscription price would increase.

After the change, Microsoft created a new annual subscription with:

  • €145.56 per user/year
  • €291.12/year for 2 users

So simply changing from monthly billing to yearly billing increased the annual subscription price from the equivalent of €259.92 to €291.12.

This is particularly confusing because the Microsoft website normally presents annual billing as the cheaper option.

I contacted Microsoft Support today. According to the support agent:

  • this behavior is the same worldwide
  • the billing change cannot be reverted
  • the agent cannot revert it
  • it cannot be escalated to a supervisor who could revert it
  • there is apparently no email address or written complaint channel where I can formally dispute the change

What concerns me most is not only the price increase itself, but the fact that I was apparently moved to a higher price simply by changing the billing frequency, without a clear indication during the process that the subscription price itself would change.

I now also have to explain to my customer why their Microsoft 365 costs suddenly increased, even though no additional licenses or services were requested.

From my perspective, changing how often a subscription is billed should not silently result in a different commercial price without a very clear confirmation beforehand.

Has anyone else experienced this?

I would especially like to know:

  • Is this expected Microsoft behavior?
  • Why does changing the billing frequency trigger a new, higher price?
  • Is there any official escalation or written complaint process for Microsoft 365 billing issues?
  • Is there really no way to revert such a billing-frequency change shortly after it was made?

I would appreciate clarification from Microsoft, because at the moment this leaves both the reseller/admin and the customer in a very poor position.

Regards

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