Distinguishing Microsoft 365 and Office 2024

At first glance, Microsoft 365 and Office 2024 may seem very similar, as they both give you access to Microsoft's popular and widely used applications. However, when you dig deeper, you'll quickly realize that the two services are actually very different.

Office 2024—the successor to Office 2021—is Microsoft's one-time purchase alternative to Microsoft 365. This article will help you choose the plan that's right for you. Since Office 2024 includes both Office Home 2024 and Office Home & Business 2024, we'll compare them to Microsoft 365's Personal and Business subscriptions.

Distinguishing Microsoft 365 and Office 2024

Difference in payment method

Microsoft 365 is essentially a subscription service, while Office 2024 requires a one-time purchase. Here are some more specific details.

Individual

  • Microsoft 365 Personal is a monthly subscription and costs $6.99/month, or $69.99/year. There are no upfront costs other than your initial subscription payment.
  • Office Home 2024 requires a one-time upfront payment of $149.99 and after payment, you will not incur any further costs.

Business

  • Microsoft 365 Business plans range from $6 to $22 per user per month (paid annually), depending on whether you need Basic, Standard, or Premium. After your one-month free trial ends, Microsoft will start charging you for the entire year.
  • Office Home & Business 2024 costs $249.99 upfront and there are no additional charges after that.

List of integrated applications?

Whether you choose Microsoft 365 or Office 2024 largely depends on the apps you want to use.

Individual

  • Microsoft 365 Personal comes with desktop apps for Word, Excel, PowerPoint, Defender, OneDrive, Outlook, Clipchamp, and OneNote. You can also benefit from Microsoft Editor, an AI-powered service that helps correct grammar, spelling, style, and other writing elements.
  • Office Home 2024 provides the Word, Excel, PowerPoint, and OneNote desktop applications. When you install and download Office Home 2024, you get the latest versions of these applications, but they won't be updated with new features. Office 2024 doesn't include Microsoft Editor and doesn't have Copilot support.

Business

  • The apps you get when you sign up for Microsoft 365 Business depend on the level you purchase.
  • Microsoft 365 Business Basic includes Teams, OneDrive, SharePoint, and Exchange as cloud-only services, and Word, Excel, PPT, Outlook as web and mobile apps.
  • Microsoft 365 Business Standard comes with all the services offered in the Basic plan like desktop, web, mobile, and cloud apps, along with Clipchamp and Loop.
  • The Microsoft 365 Business Premium plan offers all the services you get with the Standard plan, plus Extra ID, Intune, Defender, and Purview. All business plans include Microsoft Editor.
  • With Office Home & Business 2024, you get the latest versions of Word, Excel, PowerPoint, OneNote, and Outlook as desktop apps without Microsoft Editor or Copilot.

Office 2024 does not come with cloud storage

If you regularly use Microsoft's cloud storage service, Office 2024 will not be a suitable choice.

  • Microsoft 365 Personal plans come with 1TB of cloud storage per subscriber, while Microsoft 365 Business accounts come with 1TB per employee. You can also purchase additional 200GB, 400GB, 600GB, 800GB, or 1TB of storage if needed, at a cost that's added to your current subscription.
  • Neither Office Home 2024 nor Office Home & Business 2024 offer cloud storage, and files will be stored locally only.

Which service is better updated and supported?

Both services receive regular security updates, but that's about the extent of their similarities.

  • Apps used through a Microsoft 365 Personal or Business subscription will be continuously updated with the latest features and security updates.
  • Office 2024 is a "locked-in-time" service, which means you only get security and bug fixes. Customers who choose a one-time payment plan won't get the latest app updates.

Multi-device capability

Both Microsoft 365 Personal and Business are compatible with Windows, Mac, iOS, and Android. With cloud-powered access, you can easily switch between devices to use it anytime, anywhere.

On the other hand, Office 2024 can only be installed on one PC or Mac, regardless of whether you are a Home or Home & Business customer.

Summary

  Microsoft 365 Office 2024
Subscriber Monthly or annual subscription for 365 Personal, and annual subscription for Business One time, prepaid
Service fee $6.99 per month or $69.99 per year for 365 Personal, or $6 per user per month to $22 per user per month for 365 Business $149.99 for Office Home 2024 or $249.99 for Office Home & Business 2024
Application Word, Excel, PowerPoint, Defender, OneDrive, Outlook, Clipchamp, and OneNote for 365 Personal, with Teams, SharePoint, Exchange, Extra ID, Intune, Defender, and Purview for 365 Business, depending on subscription level Word, Excel, PowerPoint, and OneNote for Office Home 2024, with Outlook added for Business accounts
Cloud storage 1TB with 365 Personal account or 1TB per employee with 365 Business account Not available
Update Continuous application and security updates Security updates and bug fixes only
Cross-platform Sign in on Windows, Mac, iOS and Android at the same time Just a Windows PC or Mac

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