How Much Do Managed IT Services Cost?

Managed IT services typically cost between $100 and $200 per user per month for small businesses. That range covers most of what you'd need: help desk support, cybersecurity, monitoring, backups, and someone to call when things break. But the real answer depends on how your provider prices their plans, what's actually included, and whether you're comparing apples to apples.

I'm Sam Sapp, founder of Lockbaud, a managed IT provider in Kansas City. I've seen every pricing model in the industry, and I know how confusing it can be when you're trying to figure out what IT support should actually cost. So let me break it down plainly.

What's Included in Managed IT Services Pricing

Before you compare prices, you need to know what you're paying for. A solid managed IT plan should cover the basics without nickel-and-diming you for every little thing.

Here's what a good plan typically includes:

• Help desk support — a real person to call when something breaks or someone can't log in
• 24/7 monitoring: your systems are watched around the clock, not just during business hours
• Patch management: keeping your software and operating systems updated so you're not running on known vulnerabilities
• Cybersecurity: antivirus, email filtering, firewall management, and endpoint protection
• Data backup and recovery: so a ransomware attack or hardware failure doesn't take your business down
• Vendor management: dealing with your internet provider, software vendors, and printer companies so you don't have to
• Strategic IT planning: someone who looks at your technology roadmap and tells you what to invest in next

If a provider quotes you a low number but half of this list costs extra, you're not getting a deal. You're getting a bait-and-switch.

Common Managed IT Pricing Models

There's no single way providers price managed IT. Here are the four models you'll see most often:

Per-User Pricing

You pay a flat rate for each employee who uses IT services. This is the most common model for small businesses. Typical range: $100–$200 per user per month. It covers all their devices, their email, their support tickets. Simple to understand, simple to budget.

Per-Device Pricing

Instead of counting people, you count machines. Desktops, laptops, servers, firewalls. Typical range: $50–$150 per device per month, with servers running higher. This works well for businesses where employees use multiple devices or where you have a lot of shared workstations.

Tiered Plans

Some providers offer bronze, silver, and gold tiers. Basic monitoring at the low end, full-service support at the top. The problem with tiered pricing is that businesses almost always end up needing things from the higher tier, which means unexpected upgrades mid-contract.

All-Inclusive (Flat Rate)

One price covers everything. No surprises, no "that's not in your plan" conversations. This is how we price at Lockbaud. You know what you're paying every month, and you never get a surprise bill because someone called the help desk too many times.

What Affects the Cost of Managed IT Services

Two businesses with 25 employees can get very different quotes. Here's why.

Company size. More users and more devices mean a bigger environment to manage. Most providers offer volume discounts as you scale, so per-user costs tend to drop a bit as headcount grows.

Complexity. A company running a single cloud-based system is simpler to support than one with on-premise servers, custom line-of-business applications, and remote offices. More complexity means more time and more specialized tools.

Compliance requirements. If you're in a regulated industry like healthcare, finance, or legal, your IT provider needs to meet specific security and documentation standards. Accounting firms dealing with IRS data, for example, need tighter controls than a marketing agency. That compliance layer adds cost.

Current state of your IT. If your network hasn't been properly managed in years, there's cleanup work before a provider can stabilize things. Some providers charge onboarding fees for this. Others (like us) absorb it.

Level of support. Do you need 24/7 coverage or just business hours? Do you want on-site visits included, or is remote support enough? The more coverage you need, the more you'll pay.

For a small business with under 100 employees in the KC metro area, expect to pay somewhere between $1,500 and $8,000 per month depending on the scope of services, though slightly lower than what you'd see in coastal cities like San Francisco or New York.

At Lockbaud, we charge a flat monthly rate per device. For most of our clients, that works out to $100–$200 per device per month. That includes everything: help desk, monitoring, cybersecurity, backups, vendor management, and strategic planning. No tiers, no add-on fees, no long-term contracts.

We also include same-day support. When something breaks at 9 AM, we're not scheduling you for next Thursday.

Managed IT vs. In-House IT: Cost Comparison

This is the comparison most business owners are really trying to make. Should you hire someone or outsource it?

Let's do the math for Kansas City.

The average IT support specialist salary in the Kansas City metro is roughly $55,000–$75,000 per year, according to the Bureau of Labor Statistics. But salary is just the starting point.

Here's what that one hire actually costs:

• Salary: $55,000–$75,000
• Benefits (health, dental, retirement): $12,000–$20,000
• Training and certifications: $2,000–$5,000
• Tools and software licenses: $3,000–$8,000
• Recruiting costs: $5,000–$10,000 (amortized)

Total: $77,000–$118,000 per year for one person.

And that one person takes vacations. Gets sick. Can't be an expert in networking, cybersecurity, cloud infrastructure, and compliance all at the same time. When they leave, you start over.

Now compare that to managed IT. A 20-person company at $150 per user per month pays $36,000 per year. For that, you get an entire team with specializations across every area of IT. Help desk, cybersecurity analysts, cloud engineers, project managers. They don't take vacations from your account, and you're never left without coverage.

For most small businesses under 75 employees, the math isn't even close. Managed IT gives you more expertise for less money.

Unusually low per-user pricing. If someone quotes you $50 per user per month for "full service," read the fine print. That number usually means basic monitoring only, with support, cybersecurity, and everything else billed separately.

Long-term contracts with auto-renewal. Some providers lock you into 2–3 year contracts that auto-renew if you don't cancel within a narrow window. If the service is good, you shouldn't need a contract to keep clients.

Vague scope of service. If the proposal doesn't clearly list what's included and what's extra, that ambiguity will cost you later. Every time something falls outside the "scope," you'll get a bill.

Per-incident or break-fix pricing. This is the old model, and it's a bad deal for businesses. You only get help when something breaks, you pay by the hour, and your provider has zero incentive to prevent problems because problems are how they make money.

No onboarding plan. A provider that can't explain exactly how they'll transition you from your current setup is winging it. Good onboarding should be documented, phased, and painless. At Lockbaud, we guarantee zero-downtime onboarding.

Frequently Asked Questions

How much do managed IT services cost per month?

Most providers charge between $100 and $200 per user per month for small businesses. The exact price depends on user count, environment complexity, and what's included. Some providers charge per device instead of per user.

Is it cheaper to hire an IT person or use managed IT services?

For most small businesses, managed IT is significantly cheaper. One in-house IT employee in Kansas City costs $77,000–$118,000 per year (salary, benefits, training, tools). Managed IT for a 20-person company typically runs $24,000–$48,000 per year and gives you access to an entire team, not just one person.

What is included in managed IT services pricing?

A good plan includes help desk support, 24/7 monitoring, patch management, cybersecurity tools (antivirus, firewall management, email filtering), data backup, vendor management, and strategic IT planning. Some providers also include cloud management and compliance support.

Are there setup fees for managed IT services?

Some providers charge onboarding fees from $500 to $5,000+ depending on the size of your network. At Lockbaud, onboarding is included. We handle the full transition from your current setup without extra charges.

Do managed IT providers require long-term contracts?

Many do, often locking you into 1–3 year agreements. Not all providers work this way. Lockbaud offers month-to-month service with no long-term contracts, because we'd rather earn your business every month than trap you in one.

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Figuring out IT costs shouldn't require a decoder ring. If you want a straight answer about what managed IT would cost for your specific business, let's talk. No pressure, no 47-page proposals. Just an honest conversation about what you need and what it costs.