Okta Pricing: Things You Should Be Aware Of

Okta’s initial pricing is low, but the true cost of using the platform often ends up being higher than expected. Many businesses struggle to balance their security needs with budget constraints due to hidden costs and add-ons. This blog covers actual Okta pricing, helping buyers make informed decisions.

Many businesses have been caught off guard by Okta's hidden costs and add-ons, which can significantly inflate the initial price. This can strain your budget and complicate your financial planning. In this blog, we'll break down the true cost of using Okta, revealing the hidden fees and additional expenses. 

By understanding these factors, you can better understand how to optimize their investment without compromising on essential security features. Thus, it will help buyers make informed decisions, ensuring they get the best value for their money while maintaining robust identity management solutions.

Actual Okta Pricing Plan

Okta's pricing model is tiered, with each service incurring an additional cost. While this setup offers flexibility, figuring out the exact cost for your specific needs can be challenging. On average, the per-user cost ranges from $12 to $18 per month, but this can fluctuate based on your organization's size and requirements.

Here’s a detailed breakdown of Okta’s pricing tiers:

• Single Sign-On (SSO): Provides a quick and sleek sign-in experience with features like multi-factor authentication (MFA), ThreatInsight, desktop and mobile SSO, RADIUS authentication, Custom org URLs, and SIEM integration.

  

  
  

  

• Multi-Factor Authentication (MFA): Adds an extra security layer with features like Okta ThreatInsight, Security Questions, Okta FastPass, Okta Verify OTP, Okta Verify Push, SMS, biometric factors, and Specified IP zones.

  

  
  

  

• Universal Directory: Helps manage user profiles and access with features like a Cloud directory, Private Workspaces, Unlimited directory integrations (AD/LDAP & apps), Custom user attributes and fields, Custom mapping and transformation, and Cloud-based LDAP authentication.

  

  
  

  

• Lifecycle Management: Automates provisioning with app and directory integrations, IT authorization features, reports, Universal Directory, and HR provisioning apps like Workday, Salesforce, and GSuite.
  

  

  
  

  

• Advanced Server Access: Provides access to apps’ back-end servers without re-signing each time, with support for multiple environments, Linux and Windows end-to-end lifecycle management, and built-in SSO and MFA authentication on SSH and RDP workflows.

  

  
  

  

• Okta Privileged Access: Provides secure management and monitoring of your organization's privileged accounts and access rights, ensuring stringent control and protection against cyber threats.

  

  
  

  

• Workflows: Automates and streamlines processes across your organization, ensuring efficient task management and compliance with customizable workflows.

  

  
  

  

• Identity Governance: Manages and governs user access rights across systems and applications, ensuring compliance with regulatory requirements and reducing security risks associated with unauthorized access.

  

  
  

  

• API Access Management: Simplifies and secures API interactions by providing identity and access management capabilities. It enables organizations to control who can access APIs, manage API authentication and authorization, and monitor API usage.

  

  
  

  

Note: These are individual pricing tiers with specified features, but once you purchase a single plan, you often need to buy additional modules for a complete solution. For example, if you buy only SSO or MFA, you can manage identities but won't be able to govern or manage access levels effectively.

How Okta Increases Dependency & Costs?

Case 1: While Okta's Single Sign-On (SSO) feature allows users to access multiple applications like Salesforce, Slack, and Notion with a single set of credentials, it has its limitations. One significant drawback is that SSO does not handle authorization, which determines what access an authenticated user has within each application. To manage authorization effectively, organizations need to invest in Okta's additional Lifecycle Management module, which increases the overall cost.

Case 2: Okta's Lifecycle Management module automates user provisioning and deprovisioning through the System for Cross-domain Identity Management (SCIM) protocol. This ensures that user identities are automatically added and removed from applications when they join or leave the organization. However, SCIM can be complex to set up and maintain, and not all applications support it, leading to inconsistencies in user identity data across different systems.

Case 3: Moreover, the SAML (Security Assertion Markup Language) standard, which Okta uses for managing user identities and access, can be difficult to implement correctly. Misconfigurations can create security vulnerabilities, and debugging issues can be challenging due to SAML's complexity.

Case 4: Organizations often fall into the "sunk cost fallacy," where they continue using Okta despite rising costs and limitations because of the time, money, and effort already invested. For instance, after spending significant resources setting up and integrating Okta with existing systems, switching to a more cost-effective or better-suited IAM solution might seem daunting. This reluctance to switch can lead to ongoing expenses and dependency on Okta's ecosystem.

Okta’s SSO TAx - A Fictional Case Study

When using Okta, there are multiple hidden costs to consider. One significant hidden cost is the "SSO tax," where some SaaS vendors charge a premium to connect a third-party Single Sign-On (SSO) provider. Additionally, the time and complexity involved in setting up and maintaining Okta’s features can add to the overall cost.

To illustrate the true cost of Okta, let’s look at a fictional case study of a company X. 

Suppose X uses a SaaS tool that costs $10 per user per month. If the vendor charges an additional $4 per user per month to use your SSO provider, you end up paying an SSO tax of 40%. When you multiply this by the number of SaaS tools and then by the number of users in your organization, the costs can quickly add up. 

It’s also important to mention that the SSO tax can range from 15% to 6,000%. Although 6,000% is on the extreme end, it’s not uncommon to see at least a 100% increase from the original price.

In addition to the SSO tax, some vendors offer SSO and SCIM (System for Cross-domain Identity Management) only with their more expensive enterprise plans, effectively locking you into higher-priced subscriptions.

Furthermore, using SCIM with Okta requires purchasing the Lifecycle Management product for $4 per month per user, which is crucial for organizations that want to automate user provisioning and deprovisioning.

Aside from monetary costs, there are non-monetary costs associated with using Okta, such as increased complexity in provisioning and deprovisioning processes, implementation, resource investment, etc. 

For example, you might invest a significant amount of time and resources in setting up Okta and integrating it with your existing systems, only to later realize that another IAM solution is more cost-effective or better suited to your needs. These factors can add to the overall burden of managing identity and access management solutions.

Mitigate Hidden Costs in Okta Pricing With Zluri

One possible solution is to continue using Google Workspace and incorporate a tool like Zluri for provisioning, deprovisioning, and managing access requests and approvals. This approach offers core Identity Provider (IdP) features without the complexity and high cost of a comprehensive solution like Okta. It mitigates the limitations of SSO without replacing it, allowing for detailed actions such as zero-touch onboarding, secure offboarding, managing access beyond SCIM capabilities, and handling third-party user access.

Once integrated into your tech stack, Zluri provides comprehensive access details, including access attempts, permission levels, and access history across your organization. It allows you to identify all users—both internal and external—along with the applications they can access and their specific entitlements. This visibility enables teams to manage access effectively through Zluri, offering granular control for all applications via a single platform.

To learn more about Zluri's features, book a personalized demo today!

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