Updated December 17, 2025: We have updated the document link. Thank you for your patience.
Introduction
We’re introducing a new pay-as-you-go (PAYG) experience in the Microsoft 365 Admin Center (MAC). This update provides a centralized way to manage metered services such as Microsoft 365 Backup and Copilot under the Billing node.
When this will happen:
General Availability:
- Available to new Microsoft 365 Backup and all Copilot customers starting
January 15, 2026 (previouslyearly December 15, 2025).2025.
- Migration path for existing Backup customers will be announced later.
How this affects your organization:
Who is affected: Admins in Worldwide and GCC environments managing Microsoft 365 Backup and Copilot PAYG services.
What will happen:
- A new PAYG page will appear under the Billing node in MAC.
- Admins can create and manage billing policies directly in MAC.
- Services can be linked to billing policies, with support for departmental billing. Note: departmental billing for Backup customers will become available in Q1 2026.
- Budgets can be set, and notifications triggered when thresholds are met.
- Usage and spending can be viewed at the billing policy level.
- Subscriptions and resource groups can be created in MAC without navigating to Azure.
- PAYG setup for other services remains under Org Settings > PAYG until transitioned.
- Additional PAYG-enabled services will be added to the Billing node over time. Until then, the PAYG setup for other products (besides Backup) will continue to remain under Org Settings > PAYG.
What you can do to prepare:
No action is required.
Admins may decide to:
- Review the new PAYG page under Billing in MAC.
- Monitor announcements for migration timelines for existing Backup customers.
- Refer to Microsoft documentation for guidance on billing policies and budget notifications.
Learn more: Set up or disconnect pay-as-you-go billing for services in new billing node | Microsoft Learn (willMicrosoft 365 pay-as-you-go services documentation | Microsoft Learn (will be updated before rollout)
Compliance considerations:
No compliance considerations identified, review as appropriate for your organization.