Even with capable alternatives out there, Microsoft Office remains the undisputed king of productivity suites and a go-to choice for consumers, professionals, and businesses to craft compelling documents, build powerful spreadsheets, or design attention-grabbing presentations. However, the way we access Microsoft’s productivity tools is changing.

The software giant now offers two distinct paths: the subscription model of Microsoft 365 or the one-time purchase of Office 2024. So, which one is the better choice? In this guide, we will dive into both offerings, exploring their features, pricing, and benefits to help you make an informed decision.

Office 2024 vs. Microsoft 365: What’s included?

Let’s first start with the basics. A Microsoft 365 Personal or Family subscription unlocks access to the following apps and services on your PC and Mac.

• Desktop versions of Word, PowerPoint, Excel, OneNote, and Outlook
• Availability on PC, Mac, iPhone, iPad, and Android phones and tablets
• Microsoft Defender advanced security for your personal data and devices
• Microsoft Editor with advanced spelling, grammar, and writing assistance
• Clipchamp video editor with premium filters and effects
• Expanded content library of high-quality photos, icons, fonts, videos, and audio
• Microsoft Access
• Microsoft Forms
• Microsoft Copilot (extra add-on)

Office Home 2024 only offers desktop versions of Word, Excel, PowerPoint, and OneNote. And if you want Outlook too, make sure to pick the Office Home & Business 2024 license (more on that in the pricing section).

As you can see from comparing the lists above, Office 2024 doesn’t hold a candle to Microsoft 365 in terms of the apps and services on offer.

Features

Microsoft has done a splendid job of adding new features to Office 2024. It now carries a new Office theme with Fluent Design principles, improved accessibility tools, the ability to insert pictures from a mobile device, support for OpenDocument Format, dynamic charts, text and array functions, presentations with a cameo, Recording studio in PowerPoint, and more.

Do make note that you won’t get any additional features via updates with your Office 2024 license. You'll get frequent updates, but they will primarily focus on security. Also, if you plan to use Copilot with your Office desktop apps, you must go with Microsoft 365. There is no way to enable Copilot in Office 2024.

Cloud storage and collaboration

Here is where you will find major differences between Office 2024 and Microsoft 365. All Microsoft 365 plans (Personal, Family, or Business) come with 1TB of OneDrive storage. This should be ample space to store your files in the cloud, freeing up storage on your local hard drive.

OneDrive seamlessly syncs your files across all your devices. You can make tweaks to a document or presentation on your desktop, and it will automatically update on your laptop or tablet.

Microsoft 365 also edges out Office 2024 in terms of real-time co-authoring. You can invite others to your Excel Workbook, work simultaneously, track changes in real time, and have an efficient and transparent collaboration. The same perks are simply not available in Office 2024, which offers a local copy.

Updates

As mentioned, Office 2024 users won’t receive any major feature updates. You will only have access to the included features available at the time of release. However, Microsoft is committed to supporting it with at least five years of security updates to patch any potential vulnerabilities or flaws.

On the other hand, Microsoft 365 will receive frequent updates with new features and security add-ons. However, one downside is that you will need to deal with update pop-ups frequently. Also, it may take a while to install large updates for your Office suite, affecting your workflow at times.

The 365 plan also requires an internet connection at times to verify the status of your active subscription status. Office 2024 requires no internet connection at all, and can be used completely offline.

Pricing

Let’s wrap up the comparison with price differences. Office Home 2024 is priced at $150 as a one-time purchase. You can use it on a single PC or Mac. Office Home & Business 2024 costs $250 and unlocks Outlook and other goodies across the desktop apps.

Microsoft 365 Personal plan starts at $7 per month or $70 per year. The Family plan costs $10 per month or $100 per year. You can share it with up to five other people, where everyone gets 1TB OneDrive storage (total 6TB). Each person can use desktop apps on up to five devices simultaneously.

Cloud vs. desktop software

Office 2024 and Microsoft 365 may look similar on paper. However, when you dig deeper, you will understand the differences between the two. Ultimately, the choice between them hinges on your needs and priorities. If you value cost-effectiveness and only essential features, Office 2024 might be the way to go if you'd prefer to stick with a one-time purchase.

On the flip side, if you crave the latest features, OneDrive cloud storage, collaboration, and flexibility, Microsoft 365 offers a more compelling package at an affordable subscription rate. Take your pick and access powerful tools to complete your tasks and achieve your goals. If you are looking for a free Microsoft 365 or Office 2024 alternative, give LibreOffice a try.