Guide

How to tell clients about a software price increase

Two notices to copy and edit, and the latest documented increases to fill them in with.

Prices as of October 11, 2026 · US list prices

When a vendor raises the price of software your firm resells or bills through, clients usually find out from an invoice. A short notice sent before that invoice avoids the surprise and the follow-up questions. This page gives two notices you can copy and edit, one for when your firm absorbs the increase and one for when it appears on the client’s invoice, plus the latest documented increases to fill them in with. Every figure below is a list price read from the vendor’s own pricing page (latest reading October 11, 2026), and each vendor links to its price history and sources.

The figures to put in the notice

The latest documented list-price increase for each plan, where a source states both the old and the new price and the new price is what the vendor’s page lists today. A unit is a company for QuickBooks Online, an organization for Xero and a user for SmartVault.

Timing differs by vendor. Intuit applied its August 2026 QuickBooks Online increase to direct subscriptions renewing on or after August 1, 2026. Xero’s US prices changed on October 1, 2026. SmartVault’s page showed the new Business Pro prices from October 2, 2026 without stating an effective date, so check with SmartVault when your own renewal is affected. Sources and earlier prices: QuickBooks Online price history, Xero (US) price history and SmartVault price history.

Before you write

1. Check the client’s plan and billing basis. Monthly and annual prices differ, and a client on a promotion or a partner discount may not see the list-price change yet. See annual versus monthly billing.
2. Check when it hits. Many increases apply at the next renewal, not on the announcement date.
3. Decide who pays. Absorbing a small increase can cost less than the conversation; passing it on is reasonable when your engagement letter bills software at cost.
4. Check your engagement letter. If it quotes a software price, update it. The cost calculator shows what the change costs across all your clients.

Notice 1: your firm absorbs the increase

Subject: [Software] price change from [date]: no change to your fees

Hi [Client name],

[Vendor] has raised the list price of [plan] from [old price] to [new price] per [unit] per month, from [effective date or your renewal date].

We have decided to absorb this increase, so your fees with us do not change. You do not need to do anything.

If you have any questions, reply to this email.

[Your name]
[Firm]

Notice 2: the increase appears on the client’s invoice

Subject: [Software] price change from [date]: what it means for your invoice

Hi [Client name],

[Vendor] has raised the list price of [plan] from [old price] to [new price] per [unit] per month, from [effective date or your renewal date]. Vendors set these prices and we bill the subscription to you at cost.

From your [month] invoice, the [Software] line will be [new price] a month instead of [old price], an increase of [difference] a month ([difference x 12] a year). Our own fees are unchanged.

If you would like to review whether [plan] is still the right fit, or compare it with a lower plan, reply and we will look at it with you.

[Your name]
[Firm]

A filled-in example

For a client on QuickBooks Online Plus billed monthly, notice 2 would read: “Intuit has raised the list price of QuickBooks Online Plus from $115 to $140 per company per month, for subscriptions renewing on or after August 1, 2026. … From your [month] invoice, the QuickBooks Online line will be $140 a month instead of $115, an increase of $25 a month ($300 a year).”

Tips

• Quote the vendor’s list price and link its pricing page, so the client sees the change comes from the vendor.
• Send the notice before the invoice that shows the new price, not with it.
• Group several changes into one notice when they land in the same month.
• Keep the figures dated. Prices change, and a notice that quotes an old price creates the confusion it was meant to prevent.

This page is information, not legal advice. Check your engagement letter for how software costs are billed.