Managed IT support for a 20–60 employee business typically costs between $150 and $220 per user per month. For a 40-employee company, this usually equates to $6,000–$8,800 per month, depending on cybersecurity requirements, response times, and service coverage. Lower-cost providers often exclude security and proactive monitoring, while higher-tier MSPs bundle cybersecurity, backups, and 24/7 support into a predictable monthly fee.
1. How MSP Pricing Models Work
Most managed IT providers price their services using one of three models. The most common is per-user pricing, which gives SMBs predictable monthly costs as staff numbers change. Some providers use per-device pricing, which can become expensive as your business grows. Others still offer hourly or break/fix support, which is unpredictable and often higher risk for growing businesses.
2. What’s Included at Different Price Levels
Managed IT pricing usually increases based on how much security and proactive support is included. At the lower end, plans may only cover basic helpdesk support. Mid-range plans typically include monitoring, patching, and standard cybersecurity. Higher-tier plans usually bundle advanced security, backups, and 24/7 monitoring, which reduces risk and unexpected costs.
3. How Cybersecurity Affects Managed IT Costs
Cybersecurity is one of the biggest factors that impacts managed IT pricing. Plans with minimal security may appear cheaper upfront, but they often leave businesses exposed to ransomware, data loss, and downtime. Higher-tier managed IT services typically include endpoint protection, email security, backups, and proactive monitoring, which significantly reduces risk and recovery costs. For most SMBs, paying more for built-in security is far less expensive than dealing with a single cyber incident.
4. Hidden Costs SMBs Should Watch For
When comparing managed IT pricing, it’s important to understand what may not be included in the monthly fee. Some providers charge extra for onboarding, after-hours support, project work, or advanced cybersecurity tools. Others advertise a low per-user price but add fees later for backups, email security, or compliance support. Clear, upfront pricing with defined inclusions helps SMBs avoid unexpected IT costs over time.
5. What a 20–60 Employee Business Should Budget
A simple way to estimate managed IT costs is to multiply the number of employees by the per-user monthly rate. For example, a 40-employee business paying $195 per user would spend approximately $7,800 per month on managed IT services. For most 20–60 employee businesses, budgeting between $6,000 and $9,000 per month provides full IT support, cybersecurity coverage, and predictable costs without surprise invoices.
Example: 35–40 Employee Sydney Business
A Sydney-based professional services business with around 40 employees moved from hourly IT support to a fully managed service priced at $195 per user per month. Within the first few months, IT costs became predictable, support response times improved, and cybersecurity controls were standardised across the business. The company also passed a cyber insurance review without requiring additional remediation, reducing both risk and administrative overhead.
Why SMBs Choose TECHD Group
TechD Group works with Sydney-based SMBs (20–60 employees) that need reliable, secure IT without complexity. Our approach is cybersecurity-first, with managed services designed to reduce risk, improve uptime, and keep IT costs predictable. Clients value having a single point of contact for IT, security, and cloud services, supported by local expertise and clear, per-user pricing.