If you are evaluating managed IT services for the first time — or wondering whether your current provider’s pricing is in line with the market — the first thing you want to know is what it should cost.
The answer depends on your firm’s size, industry, compliance requirements, and geographic market. But you deserve a straight answer, not a “call us for a custom quote” runaround. Here is what managed IT actually costs for small businesses in 2026, what each price point includes, and what to watch for in provider proposals.
Managed IT Pricing Models in 2026
Most managed service providers (MSPs) price their services using one of three models. Understanding each model helps you compare proposals on equal terms.
Per-User Pricing
This is the most common model in 2026. You pay a fixed monthly fee for each user in your organization, regardless of how many devices they use.
Typical range: $150 to $300 per user per month
Why it works for small businesses:
- Predictable monthly cost that scales linearly with your headcount
- Covers all devices per user (laptop, desktop, phone, tablet)
- Simple to budget: 20 employees x $250/user = $5,000/month
- Easy to compare across providers
What to watch for:
- Some providers define “user” differently (e.g., excluding part-time employees or including only users with email accounts)
- Confirm whether the per-user fee covers all devices or just one
- Ask about pricing for shared devices (reception computers, conference room systems)
Per-Device Pricing
Some MSPs charge per device instead of per user. This model is less common in 2026 but still used by some providers.
Typical range: $75 to $175 per device per month
Why it works:
- Can be cheaper for firms where users have only one device
- Transparent count: you know exactly how many devices you have
Why it often does not work:
- Users with multiple devices (laptop + desktop + phone) get expensive fast
- Does not account for cloud-based services or user-level security
- Harder to budget when device count fluctuates
Tiered or Bundled Pricing
Some MSPs offer predefined service tiers (e.g., Silver, Gold, Platinum) with different levels of coverage at each tier.
Typical range: Varies widely, but per-user costs at each tier generally fall within the $150 to $300 range
Why it works:
- Clear differentiation between service levels
- Easy to understand what you are getting at each price point
- Ability to upgrade as your needs grow
Why it sometimes does not work:
- Tier structures can obscure what is actually included vs. what costs extra
- The “basic” tier may exclude critical services (cybersecurity, backup, compliance) that your firm absolutely needs
- “All-inclusive” tiers may include services you will never use
What Is Included at Each Price Point
Here is a realistic breakdown of what managed IT services include at different price levels for a small business in the Bay Area. These are market averages — individual providers will vary.
Basic Tier: $150 to $200 Per User Per Month
This tier covers foundational IT management. It keeps your systems running and provides a support number to call when something goes wrong.
Typically includes:
- Help desk support (business hours, sometimes extended hours)
- Proactive monitoring of servers, workstations, and network devices
- Patch management (operating system and application updates)
- Basic antivirus and malware protection
- Basic backup (file-level or image-based, local or cloud)
- Vendor management (liaising with ISPs, software vendors, hardware suppliers)
- Monthly or quarterly reporting
Typically does not include:
- Advanced cybersecurity (EDR, SIEM, email security, dark web monitoring)
- Compliance documentation and reporting
- Security awareness training
- Virtual CIO (vCIO) strategic planning
- After-hours and weekend support
- On-site visits (often billed separately)
Best for: Small businesses with minimal compliance requirements, low-sensitivity data, and basic technology needs.
Caution for professional services firms: This tier is generally insufficient for law firms, CPA firms, or financial services firms that handle regulated data. The missing cybersecurity and compliance components represent significant risk exposure.
Standard Tier: $200 to $250 Per User Per Month
This tier adds meaningful cybersecurity and compliance capabilities. It is the minimum recommended level for firms handling client data subject to regulatory requirements.
Typically includes everything in Basic, plus:
- Endpoint detection and response (EDR) on all devices
- Email security with advanced phishing protection
- Multi-factor authentication (MFA) management and enforcement
- Security awareness training for employees
- Dark web monitoring for compromised credentials
- Comprehensive backup and disaster recovery with regular testing
- Quarterly business reviews with technology recommendations
- After-hours support (evenings and weekends)
- On-site support visits (included or at reduced rates)
Typically does not include:
- Full compliance documentation packages (FTC Safeguards, IRS 4557, SOC 2 readiness)
- vCIO strategic planning and technology roadmapping
- Advanced threat hunting and security operations center (SOC) monitoring
- SIEM (Security Information and Event Management)
Best for: Small businesses with moderate compliance needs, client-facing data obligations, and cyber insurance requirements. This is where most professional services firms should start their evaluation.
Comprehensive Tier: $250 to $300 Per User Per Month
This tier delivers full-spectrum IT management, cybersecurity, and compliance. It is designed for firms where regulatory compliance, client data protection, and risk management are non-negotiable.
Typically includes everything in Standard, plus:
- Compliance documentation mapped to specific frameworks (FTC Safeguards Rule, IRS 4557, State Bar requirements, SOC 2 readiness)
- Annual risk assessments and written information security programs
- Incident response planning and tabletop exercises
- vCIO services: technology budgeting, strategic roadmapping, and quarterly or monthly planning sessions
- 24/7/365 support including holidays
- Priority response times with guaranteed SLAs
- Security operations center (SOC) monitoring
- Regular penetration testing or vulnerability scanning
- AI readiness assessment and integration support
Best for: Professional services firms in regulated industries — law firms, CPA firms, financial services firms — that need to demonstrate their security posture to clients, regulators, and insurers.
What These Numbers Look Like for Real Firms
Here is what each tier costs in practice for firms of different sizes:
| Firm Size | Basic ($175/user avg) | Standard ($225/user avg) | Comprehensive ($275/user avg) |
|---|---|---|---|
| 10 employees | $1,750/mo ($21,000/yr) | $2,250/mo ($27,000/yr) | $2,750/mo ($33,000/yr) |
| 20 employees | $3,500/mo ($42,000/yr) | $4,500/mo ($54,000/yr) | $5,500/mo ($66,000/yr) |
| 30 employees | $5,250/mo ($63,000/yr) | $6,750/mo ($81,000/yr) | $8,250/mo ($99,000/yr) |
| 50 employees | $8,750/mo ($105,000/yr) | $11,250/mo ($135,000/yr) | $13,750/mo ($165,000/yr) |
For comparison: a single full-time IT professional in the Bay Area costs $120,000 to $180,000 per year in salary alone (before benefits, training, and tool costs), and covers only a fraction of the capabilities included in a managed IT service.
Factors That Affect Your Managed IT Pricing
1. Industry and Compliance Requirements
Professional services firms in regulated industries pay more because they need more. A marketing agency with 20 employees has very different requirements than a 20-person CPA firm that must comply with the FTC Safeguards Rule and IRS Publication 4557.
Compliance adds cost because it requires documentation, risk assessments, policy development, and ongoing auditing — all of which take specialized expertise and ongoing effort. But non-compliance costs far more: the IBM Cost of a Data Breach Report found that organizations with high levels of non-compliance paid an average of $5.05 million per breach, compared to $3.35 million for compliant organizations.
2. Firm Size
Per-user pricing typically decreases slightly for larger firms because fixed infrastructure costs (firewalls, servers, core network) are spread across more users. A 50-person firm may negotiate rates $10 to $25 lower per user than a 10-person firm for the same service level.
However, very small firms (under 10 users) often face minimum monthly fees that effectively increase the per-user cost. Most MSPs have a floor of $1,500 to $2,500 per month regardless of user count.
3. Current Environment Condition
If your firm’s IT environment is well-maintained — current hardware, updated software, documented configurations, existing security tools — onboarding is straightforward. If your environment is a mess of outdated servers, unpatched systems, undocumented configurations, and no security baseline, expect a higher initial cost for the stabilization phase.
Some MSPs include onboarding and stabilization in their monthly fee. Others charge a separate one-time onboarding fee ($2,000 to $10,000 depending on complexity). Ask about this upfront.
4. On-Site vs. Remote Support
Most managed IT is delivered remotely in 2026. Remote monitoring, remote troubleshooting, and cloud-based security tools mean that an MSP does not need to be in your office to manage your systems effectively.
However, professional services firms in the Bay Area — across San Jose, San Francisco, Palo Alto, Campbell, and Los Gatos — often need on-site support for hardware issues, office moves, new employee setup, and conference room technology. Ask whether on-site visits are included or billed separately, and what the response time is for on-site requests.
5. Cybersecurity Depth
There is a significant difference between basic cybersecurity (antivirus + firewall) and comprehensive cybersecurity (EDR, SIEM, SOC monitoring, penetration testing, incident response). The more protection you need, the more it costs. For firms handling sensitive client data, comprehensive cybersecurity is not optional — it is the minimum standard. The 2024 Verizon DBIR found that 68% of breaches involved a human element, underscoring the need for layered security that includes both technology and training.
Hidden Costs to Watch For
When comparing proposals from managed IT providers, look for these commonly overlooked costs:
1. Onboarding and Setup Fees
Some MSPs charge a one-time onboarding fee to document your environment, deploy their tools, and stabilize your systems. This can range from $2,000 to $10,000. Ask whether onboarding is included in your monthly fee or billed separately.
2. Project Work Outside Scope
Most managed IT contracts define a scope of “day-to-day operations.” Projects like office moves, server migrations, new software deployments, or major infrastructure upgrades are often billed separately. Clarify what counts as a “project” vs. standard support.
3. After-Hours Support Surcharges
If your contract covers business-hours support, after-hours calls may be billed at premium rates ($150 to $300 per hour). For firms like CPA practices that work late nights during tax season or law firms preparing for trial, after-hours support must be included in the base agreement.
4. Hardware and Software Procurement Markup
Some MSPs mark up hardware and software purchases by 10 to 30%. Others sell at cost or even at a discount through their volume purchasing agreements. Ask about the provider’s procurement policy and request transparency on pricing.
5. Contract Termination Fees
Managed IT contracts typically run 12 to 36 months. Early termination fees can be substantial — sometimes the remaining months of the contract paid in full. Understand the termination terms before you sign, and negotiate reasonable exit provisions.
6. Per-Incident Charges for “Out of Scope” Issues
Some providers define a narrow scope of included support and charge per incident for anything outside that scope. This creates a gray area where routine support calls become billable events. Look for providers with a clearly defined, inclusive scope of support.
7. Compliance as an Add-On
If compliance documentation is not included in your per-user fee, it will be billed separately — often at $5,000 to $15,000 per year. For professional services firms, compliance is not optional. It should be part of the core service, not an upsell.
Bay Area-Specific Pricing Context
IT pricing in the San Francisco Bay Area runs 10 to 25% higher than national averages. This reflects the higher cost of doing business, the competitive market for IT talent, and the premium placed on providers who can deliver on-site support in the Bay Area’s geographic spread.
Here is what Bay Area small businesses should expect to pay in 2026:
| Service Level | Bay Area Per-User/Month | National Average Per-User/Month |
|---|---|---|
| Basic managed IT | $150 - $200 | $125 - $175 |
| Standard (IT + security) | $200 - $250 | $175 - $225 |
| Comprehensive (IT + security + compliance) | $250 - $300 | $225 - $275 |
The higher cost reflects real value: Bay Area MSPs serving professional services firms bring specific expertise in California regulations (CCPA, State Bar rules, DFPI oversight), local compliance knowledge, and the ability to provide on-site support without multi-hour travel times.
How to Compare Managed IT Proposals
When you receive proposals from multiple MSPs, use this framework to compare them accurately:
- Normalize the per-user cost. Get every proposal to a per-user, per-month number so you can compare directly.
- Map inclusions to your requirements. Create a checklist of what your firm needs (cybersecurity, compliance, after-hours support, on-site visits) and verify each proposal covers every item.
- Identify exclusions. What is NOT included? Projects, hardware, after-hours, compliance documentation? These become hidden costs.
- Ask about contract terms. Length, termination provisions, price increase caps, SLA guarantees.
- Request references in your industry. Can they provide contacts at law firms, CPA firms, or financial services firms they currently serve?
- Evaluate the onboarding process. What happens in the first 30 days? How do they transition you from your current setup?
How One82 Approaches Managed IT Pricing
One82 has served professional services firms across the Bay Area since 1999. Our pricing is transparent, per-user, and inclusive of the cybersecurity and compliance capabilities that professional services firms require.
We do not offer a stripped-down “basic” tier that leaves your firm exposed and then charge premium add-ons for the security and compliance components you actually need. Every One82 engagement includes managed IT, cybersecurity, and compliance as integrated services — because for the firms we serve, those three things are inseparable.
Our clients include law firms, CPA firms, and boutique financial services firms across San Jose, Palo Alto, San Francisco, Campbell, and Los Gatos. We are not the cheapest option in the market, and we are not trying to be. We are built for firms that understand the difference between paying for IT and investing in the protection of their practice.
If you want to understand what managed IT would cost for your specific firm, schedule a 15-minute discovery call. We will walk through your current setup, your requirements, and what a right-sized solution looks like — no obligation, no pressure.
FAQ
How much does managed IT cost per user per month in 2026?
Managed IT services for small businesses in 2026 typically cost $150 to $300 per user per month, depending on the service level. Basic managed IT (monitoring, help desk, patching) ranges from $150 to $200 per user. Standard managed IT with cybersecurity (EDR, email security, MFA, backup) ranges from $200 to $250 per user. Comprehensive managed IT including compliance documentation, vCIO services, and 24/7 support ranges from $250 to $300 per user. Bay Area pricing runs 10 to 25% higher than national averages due to the higher cost of doing business and the specialized expertise required for the region’s professional services firms.
What is included in managed IT services?
At a minimum, managed IT services include proactive monitoring of your servers and workstations, help desk support for your employees, patch management (keeping software updated), backup management, and basic security tools. More comprehensive services add endpoint detection and response (EDR), email security, multi-factor authentication management, security awareness training, compliance documentation, disaster recovery testing, vendor management, and strategic technology planning (vCIO). The specific inclusions vary by provider and service tier — always request a detailed scope of services document before comparing proposals.
Is managed IT cheaper than hiring an in-house IT person?
For most small businesses, yes. A full-time IT professional in the Bay Area costs $120,000 to $180,000 per year in salary alone, before benefits, training, tools, and management overhead. That single person cannot cover every specialty your business needs: networking, cybersecurity, compliance, cloud services, and industry-specific software. A managed IT provider delivers a team of specialists across all of these disciplines for $30,000 to $100,000 per year (depending on firm size and service level). Larger firms (50+ employees) may benefit from a hybrid model: one or two in-house IT staff for day-to-day support, supplemented by an MSP for cybersecurity, compliance, and strategic planning.
What hidden costs should I watch for in managed IT contracts?
The most common hidden costs include: onboarding and setup fees ($2,000 to $10,000), project work billed outside the monthly scope (office moves, migrations, new deployments), after-hours support surcharges, hardware and software procurement markups (10 to 30%), early contract termination fees, per-incident charges for “out of scope” issues, and compliance documentation treated as a premium add-on rather than included in the base service. Before signing, request a complete list of what is included in the monthly fee and what triggers additional charges. Compare the total annual cost, not just the monthly per-user rate.
How do I know if my business needs the basic, standard, or comprehensive tier?
The right tier depends on your compliance obligations and the sensitivity of the data you handle. If your business does not handle regulated data and has minimal compliance requirements, the basic tier may suffice. If you handle client financial data, personal information, or are subject to any regulatory framework (FTC Safeguards Rule, IRS 4557, State Bar rules, SEC requirements), start your evaluation at the standard tier — and strongly consider the comprehensive tier. Professional services firms — law firms, CPA firms, financial services firms — should default to the comprehensive tier because the cost of a compliance failure or data breach far exceeds the incremental monthly investment.
Do managed IT costs increase over time?
Most managed IT contracts include annual price increase provisions, typically 3 to 5% per year. This covers inflation, rising software licensing costs, and expanding cybersecurity requirements. Some providers cap increases at a fixed percentage; others tie them to CPI. Review the price escalation clause before signing, and negotiate a cap if one is not already included. Beware of providers who offer artificially low introductory pricing that jumps significantly after the first year.
Why does managed IT cost more in the Bay Area than other regions?
Bay Area managed IT pricing runs 10 to 25% higher than national averages for several reasons: the cost of employing qualified IT professionals in the Bay Area is significantly higher (driven by competition from tech companies for the same talent pool), the regulatory environment in California is more complex (CCPA, DFPI, State Bar requirements), and the professional services firms in this market have higher compliance standards driven by their own clients and regulators. The premium also reflects the ability to provide responsive on-site support across the Bay Area’s geography — from San Francisco to San Jose to Palo Alto — without outsourcing to a distant help desk.
