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What does an LMS cost a year?
Arithmetic on TouchClass published list prices (tax excluded, before term discounts). Total cost is not the licence alone but five items: licence, implementation, content production, admin labor and overage.
$500 monthly minimum applies
$4.0 × 500 × 12
$3.0 × 1,000 × 12
Annual license cost by headcount
Published list prices, not a market average. Of the five cost items, only the licence is guaranteed to appear on a quote.
Annual license by headcount (tax excluded · no term discount)
| Seats | Plan | Per user / month | Annual license | Calculation |
|---|---|---|---|---|
| 50 | Essential | $4.5 | $6,000 | $500 × 12 (minimum) · effective $10 per user |
| 100 | Essential | $4.5 | $6,000 | $4.5 × 100 = $450, still under the minimum · effective $5 per user |
| 500 | Professional | $4.0 | $24,000 | $4.0 × 500 × 12 |
| 1,000 | Business | $3.0 | $36,000 | $3.0 × 1,000 × 12 |
| 3,001+ | Enterprise | Custom quote | — | Priced against scale and integration scope |
Plan bands break at 200, 500 and 3,000 seats. The $500 monthly minimum on Essential governs the effective rate below 112 users ($4.5 × 112 = $504). Term discounts run 5% for one year, 10% for two and 15% for three or more. The figures come from published pricing and pricing.json.
What to add to get total cost
These five stack up from the bottom into the total. Send the quoted question in each layer to every shortlisted vendor, word for word.
-
1
License
Per-user rate × seats × 12 months. The only line that is on the quote from the start. "Is tax included? Is there a minimum contract amount? Can we reduce seats mid-term?" -
2
Implementation & migration
Data transfer, SSO, HRIS. One-time, and often missing from the first quote. "What is inside standard migration, and where does billable work begin? Is integration in this quote?" -
3
Content production
Recurs every year, yet it has no line on the quote at all. "Is any content included? Are compliance courses included? Is there a content subscription?" -
4
Admin labor
Assigning, chasing, exporting evidence. Your cost, not theirs. "Are those three automated? How many hours a week does one admin need?" -
5
Overage
AI tokens, storage, bandwidth. Surfaces in year two. "Give me the included allowance and the overage rate as numbers."
To formalize these as requirements, use the 60-item LMS RFP; to score the answers, the 60-item comparison checklist.
Billed as separate items: customization, external integrations (SSO, HRIS, ERP), AI token, storage and bandwidth above the included allowance, and Enterprise setup. Standard feature updates are free, and the seat count is fixed by a four-week pilot with 50–100 users rather than by estimate.
Content can also be sourced through the content subscription at $9.9 per user per month, tax excluded. Final terms are confirmed in consultation.
Frequently asked questions
How much does it cost to implement an LMS?
On license alone, at TouchClass published list prices: $6,000 a year for 100 seats, $24,000 for 500, $36,000 for 1,000 (tax excluded, before term discounts). Add implementation, content production, admin labor, and overage to reach total cost.
What does an enterprise LMS cost per user?
Per user per month, Essential $4.5 / Professional $4.0 / Business $3.0 (tax excluded); 3,001 seats and above are quoted individually. Essential carries a $500 monthly minimum, so below 112 users the minimum, not the per-user rate, decides the bill.
How many seats should we buy?
Size on active users, not on headcount. On 1,000 seats at $36,000 a year, 9% MAU works out to $400 per active user per year and 81% MAU to $44.44. That is about a 9× gap on an identical seat price.
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