Microsoft 365 Price and Copilot Changes: Renewal Checklist

Microsoft introduced new pricing and plan updates for Microsoft 365 on July 1, 2026. These changes affect many small businesses and nonprofits, especially with Copilot now included in core plans and adjustments to mailbox storage and security features. If your renewal is coming up, a careful review can help you avoid unnecessary costs and ensure your team has the right tools.

Why This Matters for Small Businesses

Microsoft 365 is a core productivity platform for many organizations. Pricing and packaging changes can impact your budget, how your staff works, and the value you get from your subscription. With Copilot now bundled into more plans and the end of promotional add-on rates, it’s important to know what you’re paying for and who actually needs each feature.

Understanding the July 2026 Changes

The July 2026 update raised prices for several Microsoft 365 Business plans and changed how Copilot is licensed. Copilot is no longer a separate promotional add-on; it’s now part of certain core plans. Microsoft also adjusted mailbox storage and added new security features. These changes mean your renewal may look different than last year—both in cost and included features.

Renewal Checklist: Steps to Take

• Find Your Renewal Date: Check your Microsoft 365 admin portal or invoices to confirm when your current subscription renews. This gives you time to plan.
• Review Your Current Licenses: List all active licenses and see which users have access to Copilot and other premium features.
• Audit Copilot Usage: Identify who actually uses Copilot. Not every staff member may need it. Consider reassigning or removing unused Copilot seats before renewal.
• Check for Unused Accounts: Remove licenses from former employees or inactive accounts to avoid paying for unused seats.
• Evaluate New Features: Review the new mailbox storage and security features. Decide if they meet your needs or if an upgrade is required.
• Update Your Budget: Adjust your IT budget to reflect the new pricing. Factor in any changes to your licensing mix.

How NIS Helps Manage Microsoft 365 Renewals

NIS keeps clients informed about major Microsoft 365 changes and helps review licensing before renewals. We assist with license audits, identify unused or underused features, and help you assign the right seats to the right people. Our team can walk you through the new features and ensure your subscription matches your organization’s needs and budget.

Stay Informed and Prepared

Microsoft 365 continues to evolve, and staying ahead of changes helps you make the most of your investment. If you have questions about your renewal or want help with a licensing review, NIS is here to support your business every step of the way.