Processes in Microsoft 365 for setting up Office apps, redeeming product keys, and activating licenses.
Use of the desktop apps depends on having the correct license assigned and signing in with the account that owns that license.
- Confirm the license type on the account
- Sign in to your Microsoft 365 account in a browser and check which subscription is actually assigned.
- If the subscription is Microsoft 365 Basic, that plan does not include the right to install or activate the desktop Office apps; it only provides 100 GB of OneDrive and access to the free web versions of Word, Excel, and PowerPoint. In that case, the desktop apps will continue to ask for payment.
- Only Microsoft 365 plans that include the “latest desktop version of Office” (for example, Microsoft 365 Business Standard, or Personal/Family on consumer accounts) can activate the installed apps.
- Verify that the correct work or school account is used in the apps
- In Word/PowerPoint on the PC, go to File → Account and check the user shown under “User Information.”
- If this is not the business account that has the Business Standard license, sign out there and sign back in with the correct work or school account.
- Check that a license is actually assigned to the user
- If the tenant is new or was just changed, there can be a delay before licenses are usable. Signing out of Microsoft 365 in the browser and signing back in can help.
- If the user is an admin, go to the Microsoft 365 admin center and verify that the user account has a Business Standard (or other Office-desktop-included) license assigned. If no such license is assigned, assign one and then restart the apps and sign in again.
- If the subscription shows as canceled or not active
- Go to the subscriptions page for the account in a browser and confirm the subscription is active and not expired or canceled.
- If it is active, in Word/Excel go to File → Account and use the option to update or refresh the license, then sign in again with the same account that owns the active subscription.
If after confirming the subscription type, license assignment, and correct sign-in the apps still prompt for payment, contact the Microsoft 365 admin (or support if the user is the admin) to review the license assignment and activation status for that tenant.
References:
- Download and install apps
- Troubleshoot installing Office
- What's the difference between a paid Microsoft 365 subscription and the free web apps?
- No license associated with my email account - Microsoft Q&A
- When opening Word or Excel, getting a 'subscription canceled' message but I have renewed my Office subscription - Microsoft Q&A