Home » Microsoft 365 NFP Licensing Guide Australia | Not-for-Profit Discounts


Microsoft 365 Licensing Guide for Australian Not-for-Profits

Microsoft offers donated and heavily discounted Microsoft 365 plans to eligible Australian NFPs.
Understand your options, calculate your costs, and make the most of what’s available to your organisation.

Up to 300 Free Licences
Up to 75% Discount
Updated for 2025/26
Australian NFP Pricing

Not-for-profit team collaborating in a modern office with Microsoft 365 tools

What Is Microsoft’s NFP Programme?

Microsoft provides eligible Australian not-for-profit organisations with access to donated (free) and discounted cloud productivity tools
through the Microsoft for Nonprofits programme. Registered charities and NFPs can access Microsoft 365 plans covering
email, collaboration, security, and desktop Office apps — often at a fraction of commercial pricing or completely free.
Eligibility is verified through Microsoft’s Nonprofit Portal, and organisations must hold valid ACNC registration, ATO DGR endorsement, or ATO-recognised tax-exempt NFP status.

Who Qualifies for NFP Microsoft 365 Pricing?

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ACNC Registration

Registered charities with the Australian Charities and Not-for-profits Commission (ACNC) are eligible. This is the most common pathway for Australian NFPs.

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ATO DGR Endorsement

Organisations endorsed as a Deductible Gift Recipient (DGR) by the ATO qualify, even if not separately registered with the ACNC.

ATO Tax-Exempt NFP

Not-for-profit bodies recognised as income tax exempt by the ATO (under Division 50 of the Income Tax Assessment Act) are also eligible.

Microsoft 365 NFP Plans & Pricing (AUD)

All prices are per user/month (paid annually), excluding GST. Donated plans are free for eligible NFPs.
Discounted plans reflect Microsoft’s NFP pricing for the Australian market.

Donated — Free

Microsoft 365 Business Basic

$0 / user / month
Up to 300 users
👤 Max 300 users • Grant licence
  • Web & mobile Office apps (Word, Excel, PowerPoint, Outlook)
  • Microsoft Teams (up to 300 participants)
  • Exchange email hosting (50 GB mailbox)
  • OneDrive cloud storage (1 TB per user)
  • SharePoint & Microsoft Lists
  • Copilot Chat (web-based AI assistant)
  • Basic security & compliance features
  • Desktop Office apps not included
  • Advanced security not included

Discounted

Microsoft 365 Business Standard

~$4.73 AUD / user / month
Paid annually • Excl. GST
👤 Max 300 users • Discounted licence
  • Everything in Business Basic
  • Desktop Office apps (Word, Excel, PowerPoint, Outlook)
  • Microsoft Bookings
  • Exchange Online Protection (email security)
  • Copilot Chat
  • Advanced threat protection not included
  • Device management not included

Discounted — Enterprise

Microsoft 365 E3

~$14.91 AUD / user / month
Paid annually • Excl. GST
👥 No user limit • Discounted licence
  • Full desktop, web & mobile Office suite
  • Microsoft Teams & Exchange Online (100 GB mailbox)
  • Windows Enterprise licensing
  • Unified endpoint management (Intune)
  • Advanced compliance & eDiscovery
  • Data loss prevention across workloads
  • Azure AD Premium P1
  • Ideal for orgs with 300+ users or complex compliance needs

Discounted — Enterprise

Microsoft 365 E5

~$35.81 AUD / user / month
Paid annually • Excl. GST
👥 No user limit • Discounted licence
  • Everything in E3
  • Microsoft Defender for Office 365 Plan 2
  • Microsoft Defender for Endpoint
  • Advanced analytics with Power BI Pro
  • Azure AD Premium P2 (identity protection)
  • Audio Conferencing & Phone System
  • Advanced compliance (Insider Risk, Communication Compliance)
  • For NFPs with the highest security & analytics requirements

Discounted — Frontline

Microsoft 365 F3

~$3.20 AUD / user / month
Paid annually • Excl. GST
👥 Designed for field workers & volunteers
  • Web & mobile Office apps
  • Microsoft Teams
  • Exchange (2 GB mailbox)
  • OneDrive (2 GB storage)
  • Intune device management
  • Ideal for volunteers & frontline staff
  • Desktop Office apps not included
  • Reduced mailbox & storage limits

NFP Microsoft 365 Licence Cost Calculator

Add the number of licences you need for each plan to estimate your monthly and annual costs. Business Basic licences (up to 300) are free.

Plan
Price (AUD/mo)
Qty
Monthly

Business Basic

Donated — Free

$0.00

$0.00

Business Standard

Discounted

$4.73

$0.00

Business Premium

Discounted

$8.61

$0.00

Enterprise E3

Discounted

$14.91

$0.00

Enterprise E5

Discounted

$35.81

$0.00

Frontline F3

Discounted

~$3.20

$0.00

Microsoft 365 Copilot (Add-on)

Add-on

~$40.80

$0.00

0
Total Licences
$0.00
Monthly Cost (excl. GST)
$0.00
Annual Cost (excl. GST)
$0.00
Annual Cost (incl. GST)

Estimated annual savings vs. commercial pricing:
$0.00

NFP Microsoft 365 Licensing FAQ

How does my organisation apply for Microsoft NFP pricing?
Register your organisation through the Microsoft Nonprofit Portal at nonprofit.microsoft.com. You’ll need to verify your ACNC registration, ATO DGR endorsement, or ATO tax-exempt status. Verification typically takes 2–10 business days. Once approved, you can access donated and discounted plans through your Microsoft 365 admin centre.

What’s the difference between “granted” and “discounted” licences?
Granted (donated) licences are completely free and are restricted to paid staff and unpaid executive leadership. Currently only Business Basic is available as a granted licence (up to 300 users). Discounted licences are available at significantly reduced pricing (roughly 60–75% off commercial rates) and can be assigned to all active staff, volunteers, and contractors with no strict user count limit beyond the product’s cap (300 for Business plans, unlimited for Enterprise plans).

Can we mix different plans across our organisation?
Yes. Many NFPs use a mixed-licensing approach. For example, you might assign free Business Basic to volunteers, discounted Business Premium to core staff who need desktop apps and security features, and Enterprise E3 to your IT or leadership team who need advanced compliance tools. The calculator above lets you model exactly this kind of multi-plan scenario.

Do we need to re-verify our NFP status?
Yes. Microsoft now requires periodic re-verification of not-for-profit status through the Nonprofit Portal. If your organisation’s details are outdated or you haven’t checked in recently, you may lose access to grant and discount pricing. We recommend checking your verification status at least annually and keeping your ACNC/ATO details current.

What about pricing changes coming in 2026?
Microsoft has announced global pricing updates for Microsoft 365 and Office 365 effective 1 July 2026. NFP discount percentages are expected to remain consistent, but the base prices they’re calculated from will increase. This means your actual per-user cost may rise slightly at your next renewal after this date. We recommend budgeting for a 5–10% increase and reviewing your plan mix ahead of renewal.

How ALL IT Services Helps Australian Not-for-Profits With Microsoft 365

Navigating Microsoft’s NFP licensing can be complex — eligibility changes, grant retirements, renewal deadlines, and mixing plans across staff and volunteers all add up to real admin overhead and financial risk.

ALL IT Services works with not-for-profits across Sydney, Melbourne, Brisbane, Orange, and regional NSW to ensure you’re getting the maximum value from Microsoft’s NFP programme. We handle the licensing strategy so your team can focus on delivering impact.

As a Microsoft Partner, we have direct access to NFP pricing tiers and can provision, manage, and optimise your licences on an ongoing basis — aligned to your funding cycles and headcount changes.

IT consultant helping a not-for-profit organisation with Microsoft 365 setup

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Licence Audit & Optimisation

We review your current Microsoft 365 licences, identify unused or misallocated seats, and recommend the most cost-effective plan mix. Many NFPs are overpaying without realising it — we fix that.

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NFP Grant & Discount Applications

We manage your Microsoft Nonprofit Portal registration, verify eligibility, and ensure you’re accessing every donated and discounted licence available. We handle re-verifications so you never lose access.

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Migration & Deployment

Moving from on-premise Exchange, Google Workspace, or legacy systems? We plan and execute migrations to Microsoft 365 with zero data loss, minimal disruption, and full staff training.

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Security & Compliance Configuration

We configure Conditional Access, MFA, data loss prevention, and Intune device management to meet ACNC governance standards, Privacy Act obligations, and Essential Eight baselines — included in your plan.

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Funding-Cycle Aligned Billing

We structure your licensing costs to align with grant periods and financial year budgets, so you can report accurately to boards, funders, and auditors without surprise expenses mid-cycle.

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Ongoing Managed Support

Our helpdesk supports your staff and volunteers with Microsoft 365 issues, onboarding/offboarding, and day-to-day admin. We’re your outsourced IT team, at a price designed for NFP budgets.

NFP Chief Financial Officer reviewing Microsoft 365 licensing costs and budget reports

A Message for NFP Chief Financial Officers & Finance Managers

If you’re responsible for IT spend at an Australian not-for-profit, Microsoft 365 licensing is likely one of your largest recurring technology costs. The good news: with the right plan mix, it doesn’t have to be.

ALL IT Services works directly with NFP CFOs and Finance Managers to model licensing scenarios, forecast costs across funding periods, and ensure your organisation captures every available discount. Here’s what we deliver for your finance function:

  • Annual licensing cost modelling aligned to your financial year and grant reporting periods
  • Clear per-user cost breakdowns by role (staff, volunteers, executives, field workers) for board reporting
  • Proactive renewal management — we flag upcoming price changes, grant expirations, and re-verification deadlines before they become surprises
  • Licence true-ups when headcount changes — scale up or down without penalty, matched to your actual team size
  • Audit-ready documentation of your Microsoft 365 entitlements, assignments, and NFP verification status
  • Total cost of ownership analysis: Microsoft 365 vs. Google Workspace vs. hybrid approaches

Book a CFO Licensing Briefing

Need Help Navigating NFP Licensing?

ALL IT Services specialises in supporting Australian not-for-profits with Microsoft 365 licensing, migration, and ongoing management.
Let us help you get the right licences at the best price — so you can focus on your mission.