What does managed IT actually cost?

The short answer: $125 to $175 per user per month

For most businesses with 20 to 200 employees, full-service managed IT in 2026 falls between $125 and $175 per user per month. That's the industry range, and where any specific business lands depends on a few key factors. It's also the real number — not the lowball quote some MSPs use to get in the door before hitting you with add-ons.

Most MSPs price per user because it's the most predictable model for your budget. You know exactly what you're going to pay each month, and there are no surprise invoices when something breaks or when you call for help.

What affects the price

• Number of users — Larger organizations typically get a lower per-user cost because certain fixed costs (network management, server maintenance, vendor management) spread across more users.
• Complexity of your environment — A company with a single office and Microsoft 365 has different needs than a multi-site business with on-premise servers, custom applications, and compliance requirements. More complexity means more management.
• Security requirements — If you need 24/7 threat monitoring, endpoint detection and response, SIEM, and compliance reporting, that adds cost. If you're in a regulated industry, these aren't optional.
• Current state of your IT — If your environment is well-managed and up to date, onboarding is straightforward. If we're inheriting years of deferred maintenance, there may be project work needed to get things to a manageable state first.
• Line-of-business applications — Custom or industry-specific applications that need support, integration, or maintenance affect pricing.

What's typically included

What usually costs extra

Some things fall outside of standard managed services and are typically quoted as separate projects or add-ons:

• Major infrastructure projects (server replacements, office moves, new site buildouts)
• Advanced cybersecurity services (SOC, SIEM, penetration testing, vCISO)
• Hardware procurement (we can source it, but hardware cost is separate)
• Compliance-specific services (HIPAA risk assessments, SOC 2 readiness)

How to compare quotes honestly

When you're comparing managed IT providers, make sure you're comparing apples to apples. A $75/user quote that doesn't include security, backup, or onsite support isn't cheaper — it's incomplete. Ask every provider exactly what's included and what costs extra. The cheapest proposal is almost never the best value.

We put this guide together because most MSPs duck the pricing question entirely, and you deserve enough information to make a confident decision. Every business is different, so the right number for yours comes out of a short conversation about your environment — not a one-size-fits-all rate sheet.