SSO Tax

Pricing & Licensing

Definition

The SSO tax is the widespread practice among B2B SaaS vendors of restricting SSO/SAML authentication to their highest-tier Enterprise plans — even though SSO is a security requirement, not a luxury feature.

The result: a team that needs SSO (required by most IT departments past ~50 people) must pay 2-2.5Ã- more than the marketing-page floor price.

How the SSO tax works in practice

A concrete example with Monday.com:

  • Marketing page: “starts at £8/user/month”
  • SSO/SAML: Enterprise plan only
  • Enterprise pricing: £24+/user/month (custom, requires sales call)
  • Actual uplift for SSO: 3Ã- the entry price

Most vendors do the same across the industry:

ToolEntry priceSSO planSSO uplift
Notion£7.50/user/monthBusiness (£12.50)67%
Slack£6.75/user/monthBusiness+ (£12.50)85%
Asana£8.50/user/monthEnterprise (custom)150-200%
ClickUp£6/user/monthBusiness Plus (£17)183%
Monday.com£8/user/monthEnterprise (custom)200%+

Why IT teams get surprised by this

Most “best of” tool lists don’t mention SSO tier requirements. A marketing manager evaluates Monday.com at £14/user/month (Standard, which they need for timelines and dashboards), gets procurement approved, and then IT discovers SSO is Enterprise-only at £24+/user. The deal dies or gets re-negotiated at 60% higher cost.

How to budget for the SSO tax

Rule of thumb: if your organisation will require SSO within 12 months of deployment, budget the Enterprise tier from day one. Use the marketing-page entry price only if you can confirm SSO is never required.

Questions to ask vendors before committing:

  1. Which plan includes SSO/SAML?
  2. Is SCIM provisioning (automated user sync) on the same tier as SSO?
  3. What’s the price at our exact seat count for the SSO tier?

The notable exceptions (tools that don’t apply the SSO tax)

  • Microsoft Teams: SSO via Azure AD is included at every M365 tier (because Azure AD IS the SSO infrastructure).
  • Google Workspace: SAML SSO included on Business Starter (£4.68/user/month).
  • Linear: SSO available on Plus plan (£14/user/month), which is their standard paid tier — a more reasonable uplift.

If SSO is a hard requirement and budget is tight, the M365 or Google Workspace ecosystem tools are the cleaner choices.

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