How to work out what your software really costs

The price on a pricing page is rarely what you pay. Seats, add-ons, plan jumps and renewals stack up until a "$10 tool" costs far more. Here's how to find the real number in about 15 minutes.

Step 1: Count every seat, not just active ones

Most tools charge per seat, and seats pile up. People leave, contractors finish, and nobody removes them. Open the billing or members page and count every paid seat. Then count how many people logged in this month. The gap is money you're already wasting.

Step 2: Find the add-ons

Many tools sell the base plan cheap and charge extra for the parts teams actually need: more storage, automations, admin controls, extra workspaces or AI features. Look for separate line items on your last invoice.

Step 3: Check which plan you're really on

A single feature can force a whole team onto a higher plan. Ask: which feature made us upgrade, and how many people use it? If the answer is "one feature, two people," there's usually a cheaper setup.

Step 4: Read the renewal terms

Annual plans often renew automatically at the current list price, not the discount you signed up with. Note your renewal date and whether the price has gone up since you joined.

Step 5: Do the yearly math

Add it up as one number: seats × price per seat × 12, plus add-ons, plus anything billed yearly. That yearly number is the one to compare.

Step 6: Compare against a cheaper twin

Now put that number next to a smaller tool that does the same job. Every "cheaper than" page on in plain sight lists the tools that say they do the job for less, with a link to their own pricing so you can check.