While, at first, many long-time Office users didn’t understand the change, they quickly found that the subscription model allowed Microsoft to offer more frequent updates and online versions of its beloved productivity software.įast forward to 2020 and Microsoft unveiled yet another reworking of its Office products and new name for the subscription service – Microsoft 365. In 2011, Microsoft released Office 365 a subscription service that completely revoked the ability to pay a single upfront cost for applications like Word, Excel, and PowerPoint. What’s the Difference Between Microsoft 365 & Office 2021? But, with the launch of Office 2021 on October 5, let’s explore why Microsoft developed the new bundle and who the company is hoping to help. It would take at least nine years for the cost of your Microsoft 365 to equal the price of an equal number of Office 2021 licenses.While Office 2021’s one-time fee offers a tempting alternative to Microsoft 365’s subscription-based service, it’s safe to say the new offering is not a replacement for those individuals and businesses in need of collaborative and secure applications.

But if you pick the Microsoft 365 Family plan and have six users sharing it, you would have only paid $16.67 per head. In just two years, you would have already spent more if you chose Microsoft 365 Personal over Office Home & Student 2021. On the other hand, you will have to pay the $69.99 fee annually if you're going for Microsoft 365 Personal.

However, since it's a one-time purchase, you only need to spend on the app once. The initial cash outlay for both versions of Office 2021 is significantly higher than Microsoft 365's offerings. The Personal plan costs $69.99 per year (or $6.99 a month), while the Family plan costs $99.99 per year (or $9.99 a month). Microsoft 365, the subscription-based office suite, also comes in two options: Personal and Family. Related: What to Expect With Microsoft Office 2021? The Home & Business 2021 license also lets you use the apps for corporate use. The former, which costs $149.99, includes the desktop versions of Word, Excel, PowerPoint, and OneNote, while the latter, at $249.99, adds Outlook to the mix. It comes in two flavors: Home & Student 2021 and Home & Business 2021. Office 2021 is the single-purchase version of Microsoft's office suite.

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