How do I add a new user in Microsoft 365?
The short answer: sign in to the Microsoft 365 admin centre at admin.microsoft.com, go to Users > Active users > Add a user, fill in their name and email address, choose a licence, and click Finish adding. It takes about five minutes. You need to be an admin, and you need a spare licence (or to buy one).
Before you start
- You need admin access. If you can't see "Users" in the admin centre, ask whoever set up your Microsoft 365.
- Check you have a spare licence. Go to Billing > Licences. If everything is assigned, you'll need to buy one more, or reuse a licence from someone who's left.
Step by step
- Go to admin.microsoft.com and sign in.
- Open Users > Active users and click Add a user.
- Basics: enter their first name, last name and display name, then choose their username (the part before the @) and your company's domain from the drop-down.
- Password: let Microsoft create one, and tick "Require this user to change their password when they first sign in".
- Product licences: set the location to United Kingdom and tick the licence they need, such as Microsoft 365 Business Standard.
- Optional settings: leave Roles as "User (no admin centre access)" unless they genuinely need to manage Microsoft 365. Add their job title and department if you like.
- Click Finish adding, then send them their temporary password in a different way from their username, for example by text or in person.
Their mailbox is usually ready within a few minutes, though it can occasionally take longer.
The bits most people forget
- Two-step sign-in (MFA). Ask them to set it up on day one at aka.ms/mfasetup using the Microsoft Authenticator app. An account protected by just a password is the easiest way into your business.
- Shared mailboxes and Teams. Give them access to the shared mailboxes (such as info@) and the Teams channels they'll need.
- Their laptop. If you have Business Premium, their laptop can be set up and secured automatically when they sign in.
- Don't make everyone an admin. Admin rights are the keys to everything, so keep them to one or two trusted people.
When someone leaves
Do it in reverse: block their sign-in, convert their mailbox to a shared mailbox if you need to keep their email, then remove their licence so you stop paying for it. See How do I save money on Microsoft 365?
Common questions
How much does a new Microsoft 365 user cost?
It depends on the plan. At the time of writing, Microsoft's UK list prices on a yearly term are roughly £6.48 a month for Business Basic, £12.96 for Business Standard and £20.28 for Business Premium, per person including VAT. Monthly-term licences cost 20% more.
Can I add a user without buying a licence?
You can create the account, but without a licence they won't get a mailbox or the Office apps. Shared mailboxes are the exception: they don't need a licence up to 50 GB.
Can someone else add users for me?
Yes. If you'd rather not touch the admin centre, an IT provider can do it for you. With The IT Person you add starters and leavers yourself from a simple screen in the portal, or ask us to do it.
Want us to check yours?
Our free Microsoft 365 audit looks at your licences, security, email and backups, and tells you in plain English what to fix first. No card, no obligation.