Microsoft Entra ID directory object quota incorrectly limited to 500 objects

João Santos 0 Reputation points
2026-09-09T00:38:36.4766667+00:00

Our Microsoft 365 Education production tenant is blocked from creating new users, groups, and other directory objects because the Microsoft Entra ID directory object quota has been reached.

Tenant details:

  • Current directory object quota: 500 objects
  • Current directory object usage: 528
  • Custom domain status: Verified
  • Tenant type: Microsoft 365 Education

We request a backend review and correction/increase of the Microsoft Entra ID directory object quota. The current 500-object quota is preventing normal administration and the creation of institutional accounts. Please escalate this case to the Microsoft Entra engineering team to review the tenant provisioning/quota configuration and set the directory object quota applicable to this Education tenant with a verified custom domain.

Microsoft Security | Microsoft Entra | Microsoft Entra ID
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  1. Andrew Taylor - COREZENN 1,385 Reputation points Volunteer Moderator
    2026-09-09T18:05:46.3933333+00:00

    Hi @João Santos

    Thank you for reaching out to Microsoft Q&A. I understand your having an issue with the ceiling on the amount of directory objects you can create.

    A verified custom domain should already put your tenant on the higher default quota (300,000 objects), not 500. What you're seeing isn't expected behavior for a tenant in your situation. It also looks like a backend provisioning issue rather than anything you can fix from the admin center.

    That said, I've seen this exact pattern come up a few times in other threads, and in each case, it turned out the tenant just hadn't been provisioned with the correct quota on the backend. The fix required Microsoft's engineering team to review and raise it manually. I'm sorry to say there's no admin-side setting for this.

    A couple of things worth doing before/while you open a ticket:

    1. Double-check the actual numbers via Microsoft Graph: GET https://graph.microsoft.com/beta/organization?$select=directorySizeQuota (needs Organization.Read.All). This gives you the real used/total values to include in your case.
    2. Open a support request through the M365 admin center (Help & support) and mention specifically that you have a verified custom domain, but the quota is showing 500 instead of the standard 300,000. That detail is what gets it routed to engineering quickly.
    3. If you ever need to go beyond the standard 300,000 for an Education tenant, that's a separate ask handled by the EDU Customer Success Team (not needed for your current issue, just for reference).

    Good luck I hope this gets resolved for you expeditiously!

    Please 'Upvote' (Thumbs-up) and 'Accept' as answer if the response was helpful. This will be benefitting other community members who face the same issue.

    Best regards, Andrew S Taylor

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