Office 2016/Office 365 Pricing and Products Explained

Updated Jan 2018

Purchasing a new version of Microsoft Office today in AUSTRALIA  is different from the past because you now have many choices and it’s quite a minefield to negotiate. (click here for prices in other countries)

What is the difference between Office 2016 and Office 365?


In very simple terms.

  • Office 2016 is an outright purchase and costs from $199 per computer
  • Office 365 is a monthly or annual subscription and costs as little as *A$26 per computer per year.
*based on purchasing Office 365 Home – A$129/year inc GST and installing on 5 computers

The outright purchase model is the traditional way of buying previous versions of Microsoft Office (20132011, 2010, 2007, 2003 etc). This is a very expensive way of purchasing Office and we recommend the subscription model.

And forget about discounted upgrade prices, there are NO UPGRADES available from Office 2013, 2010, 2007, 2008, 2011 or earlier. If you wish to purchase Office 2016 or Office 365, you will need to pay outright for Office 2016 or per month or year for Office 365.

Quick Facts

This document aims to help you select the most suitable version to suit your needs. (all prices in Australian Dollars)


Microsoft Office 2013 v Microsoft Office 2016 – What is the difference?

Basically very little in features but quite a difference in pricing. When you purchase this version of Office (Office 2007, Office 2010, Office 2013 or Office 2016) there is NO FREE or automatic upgrade to the next version. This means that every 3 years you need to buy a new copy (currently approx A$199).

There are three versions of Office 2016 you can buy: Home & Student which has Word, Excel, PowerPoint, and OneNote; Home & Business which has that plus Outlook and Professional which has that plus Publisher and Access.

If you own a standalone version of Office 2013 there is NO UPGRADE available to upgrade it to Office 2016 . The IT Guys recommend you DO NOT waste money on Office 2016, purchase a version of Office 365 instead,



A major advantage of subscribing to Office 365 on a monthly or annual “subscription” basis, is that you always have access to the latest version of Office as long as you continue to pay the subscription fee.

Microsoft Office 365 – Annual Subscription Fee, Personal or Home


Office 365 Personal –  A$99/year inc GST

Licensed for 1 PC or 1 Mac

Word, Excel, Powerpoint, Outlook, OneNote, 1TB Onedrive data. Skype – 60 minutes/month – Licensed for 1 PC or Mac


Office 365 Home – A$129/year inc GST

Word, Excel, Powerpoint, Outlook, OneNote, Access, 1TB Onedrive data for up to 5 users. Skype – 60 minutes/month – Licensed for up to 5 PCs or Macs 


Office 365 University – A$119/ 4 years inc GST

Word, Excel, PowerPoint, OneNote, Outlook, Publisher and Access, 1TB Onedrive data – Licensed for up to 2 PCs, Macs, or tablets and 2 phones

Who’s eligible

Office 365 University is available to full- and part-time enrolled students, faculty, and staff of qualified, accredited higher education institutions. Alumni of these institutions aren’t eligible.

Qualified, accredited higher education institutions include Universities, Polytechnic schools, and Institutes of Technology, as well as other tertiary-level institutions, such as universities and vocational schools that award academic degrees or professional certifications. Restrictions may vary by country. Find out if you’re eligible.

Office 365 for Education (FREE)

Office 365 for Education is a collection of services that allows you to collaborate and share your schoolwork. It’s available for free to teachers who are currently working at an academic institution and to students who are currently attending an academic institution. The service includes Office Online (Word, PowerPoint, Excel, and OneNote), unlimited OneDrive storage , Yammer, and SharePoint sites. Some schools allow teachers and students to install the full Office applications on up to 5 PCs or Macs for free. If your school provides this additional benefit, you’ll see the Install Office button on your Office 365 home page after you complete sign-up.

Microsoft Office 365 for Business – Monthly Subscription Fee

Click here for details

Office Home & Student 2016 (for Mac or PC) A$199 inc GST, 1 user …one off purchase

Office as a one-time purchase includes applications such as Word, Excel, and PowerPoint for use on a single PC or Mac. The applications are not automatically updated; to get the latest version, you must purchase Office again when the new version becomes available. It DOES NOT include Outlook.

Need more help?

If you live in Western Australia, and you need any kind of computer help, please bring your computer to us at 315 Rokeby Road, Subiaco, Western Australia or call us out. You can contact us here or call:

08 6365 5603 
Alternatively click on the Green “Support” button in the bottom right hand corner of the screen and leave a message.DELL Authorised PartnerFor instant remote control support download and install our TeamViewer remote control software By Clicking Here and following the instructions found on this page

15 comments to “Office 2016/Office 365 Pricing and Products Explained”

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  1. Lester Cantem - January 14, 2017 Reply

    Dear Sir or Madam,
    Thanks for this helpful explanation. However could you answer a couple of further questions?
    I need Office (including Publisher) for two Mac laptops. One for myself and one for my wife. What do I need to purchase?
    Secondly, we travel to Colombia frequently with no internet access there. Will Office 2016, 365 subscription, without the internet still work? Kind Regards, Lester

    • John Kirkby - January 20, 2017 Reply

      Office 365 Home has Publisher but only for PC but can be installed on up to 5 computers. Office will still work even if not connected to the Internet.

    • Meachelle - March 24, 2017 Reply

      I am a technician and a mac user. Depending on the functions you are looking for word for mac is different to word for pc and has almost combined the functions of publisher and word into one platform. You can do almost everything on word for mac. It has a standard word layoit and a publishing layout you choose at the start when you open a new document. I do a fair amount of graphic design and websites and use word for mac for heaps of my tasks. I currently still use 2013 which works great. I prefer to buy out right and use the program for more than 3 years. Home and student for mac is $179 365 is 89 per year. Cheaper to buy outright in my opinion. These subscription are starting to peeve me off.

      • John Kirkby - March 28, 2017 Reply

        It is a matter of preference and wether you want Outlook.
        Yes, Office Home & Student 2016 for Mac AU$179.00 incl. GST, For 1 Mac perpetual licence includes fully installed versions of Word, Excel, PowerPoint, and OneNote which will probably last 3 years before superceeding. or
        Office Home & Business 2016 for Mac AU$299.00 incl. GST For 1 Mac, Fully installed versions of Outlook, Word, Excel, PowerPoint, and OneNote

        These prices are for installation on 1 Mac only.

  2. Susan Hoddinott - April 2, 2017 Reply

    I received Office 365 with my computer on a 12 month “free” basis. I don’t actually want it because it has taken up much of the space on my C:/ drive and as a consequence all updates fail without a disk cleanup, etc. The Office 365 product has now expired and is forcing me to buy a license in order to use important functionality. I don’t really care about the Office suite, but the Outlook component is a problem because I cannot respond to mail. I always thought Outlook was free anyway? What do I need to do to update Outlook so that it again works correctly, without renewing the Office 365 license, – i.e. lets me respond to the mail I am receiving, etc.?

  3. sibongile - October 8, 2017 Reply

    what is a serial number coz it wants a serial nber

    • John Kirkby - October 10, 2017 Reply

      Serial number is probably referring to a number on the packaging of the purchased version of Office you previously had, especially if it was Office 2011. If youve lost the serial number you will have to purchase the new version

  4. M - November 26, 2017 Reply

    You have made Office so expensive, it is better to with with Apple. Very Disappointed. All I wanted was to buy outright Word and Outlook. I could not afford $600 for just an application.

    • John Kirkby - November 28, 2017 Reply

      Firstly, its Microsoft, not us that makes Office so expensive. Also, Office has been around the $600 purchase price since Office 2010, so it has not gotten more expensive over the years. Office 365 makes so much more sense both economically and in combatting hacking and malware.

  5. Mark Wadsworth - February 10, 2018 Reply

    The following is not correct and should read per User not per computer.

    Office 365 is a monthly or annual subscription and costs as little as A$24 per computer per year.

    • John Kirkby - February 10, 2018 Reply

      $24 per year per computer. Not in Australia? I think your pricing the online versions of Office such as Office 365 F1 which is $67.20 per year per user and includes online versions of office but not the downloadable desktop version. However, Office 365 Home is only A$129 per year and allows 5 users so that would effectively be A$25.80 per user per year.

      • Tim Cummings - March 8, 2018 Reply

        Mark is quoting your article “Office 365 is a monthly or annual subscription and costs as little as A$24 per computer per year.” in the third line. I think you should remove the line from your article because it is misleading.

        • John Kirkby - March 10, 2018 Reply

          Thanks Tim

          Ive updated the article and clarified the pricing to $25.80 per computer per year … based on purchasing Office 365 Home – A$129/year inc GST and installing on 5 computers

  6. Dan - March 11, 2018 Reply

    Extended support for Office Home & Business 2016 ends in October of 2025. At $200 it is hands down the better value. Office 365 is only a good deal for Microsoft and their partners.

  7. Omer Arshad - March 28, 2018 Reply

    Hi There,
    Need some help.. I have my personal domain name and want to get an email account with personal domain name. Also, I need to get office 365 with that as well.

    If so, how much does it cost to get office 365 to be used on two computers and also personalised email address with the domain that I have already registered through crazy domains.

    The domain name is :


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