Model annual Microsoft 365 and Enterprise Agreement license cost across E3, E5, the new E7 Frontier Suite, Frontline F1/F3, Copilot for M365, and Power Platform — benchmarked against the discounts our advisory team actually negotiates across 500+ engagements.
List prices reflect Microsoft's published per-user/per-month rates including the July 2026 Microsoft 365 increase. Discount bands reflect Microsoft Negotiations' benchmark distribution across mid-market and enterprise EAs.
Three numbers matter. Year-1 contract value is what hits your purchase order at signature, after your negotiated discount. Three-year contract value bakes in your projected true-up growth at the price protection terms your EA has actually negotiated — or, more often, doesn't have. Discount delta versus list is your effective negotiation position; benchmark Level C (~18%) is what Microsoft expects to give a mid-market EA buyer who runs no competitive process. Top-quartile outcomes start at 24%.
The calculator uses Microsoft's post-July 2026 Microsoft 365 list prices, current Copilot for M365 at $30/user/mo, the published E7 Frontier Suite bundle at $99/user/mo, F1 at $2.25 and F3 at $8/user/mo. It does not price in Software Assurance benefits, Unified Support uplifts (now 12–15% of license spend under the 2026 Unified Support model), or Azure consumption commitments. For those, model separately or ask us for a full EA cost stack.
Until November 2025, EA volume tiers ran A–D and rewarded scale. The 2026 tier collapse eliminated automatic tier discounts for organisations under 2,400 seats and compressed the Level C/D gap above that. If your renewal lands after the collapse, the discount band in this calculator is achievable only with an explicit negotiation, a credible LSP-vs-direct alternative, or both. Our team negotiates that specific lever weekly — see the EA negotiation advisory page or pull our EA Negotiation Playbook.
Initial Microsoft proposal: E5 across 18,200 information workers plus 4,200 F3 Frontline plus 6,000 Copilot for M365, three-year EA renewal, Level C base discount, no Frontline reclassification. List-equivalent calculator output: $38.4M / year. Microsoft's first quote was $31.5M / year after a 18% blended discount.
Final landed cost after our team's intervention: $24.1M / year — a step-down to E3 plus targeted E5 add-ons, Copilot piloted at 1,800 seats with a paid expansion option, and 8,400 information workers reclassified as Frontline F3.
$7.4M / year recovered · 23.5% below first-quoteA modelled number is a hypothesis. A negotiated number is a result. The gap between them — usually 15–30% in our engagements — is what we recover. If the numbers above worry you, the fastest path to certainty is a 30-minute call with one of our independent advisors. We will benchmark your seat mix, identify the two largest savings levers in your contract, and tell you whether they are negotiable in your current timeline.
For deeper background, read the Microsoft 365 licensing pillar, the EA negotiation pillar, or the Microsoft Copilot licensing guide.
Inputs: users, seat cost, hours saved per week, hourly rate. Output: 12 / 24 / 36-month payback curve.
Open CalculatorTen-question scorecard scoring your true-up exposure as Low / Medium / High with named remediations.
Take AssessmentOwned vs used self-check returning SKU rightsizing recommendations and recovery dollar estimates.
Run Self-CheckIndependent advisors should publish independent math. The formulas in this calculator use no Microsoft-supplied inputs, no reseller-spreadsheet markups, and no AI-generated assumptions. Every default is anchored to actual benchmark pricing from our 500+ engagement database, $2.1B in managed Microsoft contract value, and 32% average cost reduction across mid-market and enterprise EAs since 2016. When the number on this page differs from your Microsoft proposal, the gap is a negotiable position — not a marketing exercise.
If you need the underlying methodology or a custom multi-scenario model before your renewal, speak to an advisor — the same team that maintains the calculator will walk you through it.