Your Complete Guide to Managed IT Pricing

Managed IT Services Pricing

Understanding managed IT services pricing can help you decide if managed IT services are right for your business.

With data complexity growing in sophistication and data breaches rising in impact and severity, now averaging $9.44 million in the United States, many businesses have turned to managed service providers to address their current and future IT, security, and productivity challenges.

In this article, we’ll take a close look at managed IT service rates, factors that influence managed IT costs, and how to estimate your managed IT pricing with a reliable MSP.

Managed IT Pricing Models

Whether you’re a small business owner or you operate larger or medium-sized businesses, familiarity with the infrastructure, needs, and budget of your business is key.

Even if you don’t have a managed IT services calculator, you can still align your business with a managed service model that’s best suited for your business.

The two ways that IT services are structured are:

  • Break-Fix: Also known as pay-as-you-go, break-fix services are reactive IT services that are often supplemented to an organization’s existing IT infrastructure. Generally, break-fix services have an hourly rate and may incur additional costs if consultation services, advanced IT troubleshooting, or monitoring services are added later on.
  • Managed IT Services: These services offer a proactive approach to infrastructure management with solutions built around a price range and specific needs. In most cases, MSPs offer flexible billing options for a fixed monthly fee that can be influenced by the number of users, operational systems, and the scope of desk support required.

 

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Your managed IT services cost can fluctuate depending on how it’s billed. For instance, most managed service providers provide a scope of managed services and solutions that fit around an organization’s unique needs.

For those reasons, managed services are typically structured as:

  • A La Carte: Managed services that offer greater granularity, more discreteness, and additional service customizations around business-specific processes.
  • Monitoring Only: Often fluctuates with the required service level but is generally accompanied by an IT helpdesk, network monitoring, and improved alerting services.
  • Per User, Per Month: A flat monthly fee that is billed collectively as per user per month.
  • Per Device, Per Month: A flat monthly fee structured as a per device/month contract.
  • Tiered (Product Bundling): Offers scalable managed service packages that increase in service scope from tier to tier.
  • ‘All You Can Eat’ (Unlimited): This option is not as common, but structured as an unlimited remote and on-site support offering for organizations with almost unlimited IT budgets.
common managed services pricing models
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Factors that Influence Managed IT Costs

Managed IT pricing is influenced by more than an organization’s size, structure, budget, needs, and industry. For instance, additional factors that can influence managed IT costs include:

 

Managed IT Costs Factors
Data Complexity Businesses continue to evolve, add new processes, and are now managing more data than ever before. As data management complexity increases, so will the costs for managed services for businesses. 
Number of Users The more users an organization has, the greater the attack surface of that business is, as more access points and endpoints now need protecting.
Number of Servers Server management can add a significant deal of complexity, resulting in increases to managed IT pricing
Service Time Required The sum of time an MSP puts forth to remediate or address infrastructure issues will greatly influence managed IT costs
Industry Verticals Supported Organizations that operate in more heavily regulated industries, such as healthcare, financial services, or legal often require business continuity and support services that are only supported by a managed service model. 
Evolving Infrastructure Needs The ever-changing needs of a business directly influence its managed IT costs by addressing the services and solutions required for a better tomorrow (while ensuring ongoing alignment between its infrastructure and goals). 

 

Compared to break-fix services, which offer a more hands-off approach to IT management, managed services provide proactive, all-around support that’s scalable to small, medium and large businesses.

In most cases, managed service providers use service agreements to outline and bind the details of their service contracts.

 

Interested in learning more about managed IT services? Check out these blogs:

 

Enjoy Customizable Managed IT Services Rates With AT-NET

Managed services help businesses better manage their security, productivity, and growth.

From helping you troubleshoot IT problems faster to managing the evolving needs of your infrastructure with precision, AT-NET offers a wide range of managed IT services that can improve the reliability and consistency of your infrastructure.

Our TechSentry IT services can be customized to address your organization’s needs, budget and goals. Starting at just $45 per user per month, you’ll get access to:

  • Access to help desk
  • Cybersecurity training
  • Automated patch management
  • Network and firewall monitoring
  • Cloud-based advanced email security
  • Managed endpoint detection and response with 24/7 SOC monitoring
  • And more

Best of all, you’ll benefit from response times as brief as one hour with our dedication to superior customer service.

For more information on our managed IT services pricing, contact us today.

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