Exchange Connection Problems

How to Set Up Microsoft 365 Email Licensing, Aliases, and Catch-All Routing

Emma Brown Oct 15, 2026 869 views

Question details

Guidance on configuring Microsoft 365 user licenses, email aliases, external forwarding, catch-all routing, and trackable conversations during a migration from Gmail.

How to Configure Microsoft 365 Email Licensing, Aliases, and Catch-All Mailboxes

Product: Microsoft 365 / Exchange Online
Device & OS: not provided
Scenario: A small business is migrating from Gmail to Microsoft 365 and needs to configure proper email infrastructure, routing rules, and license management for its staff and general addresses.
Observed behavior: The business requires careful configuration of Exchange Admin Center routing, security policies, and workflow setups to ensure proper email delivery, license optimization, and trackable team conversations.

Before you start

Ensure you have Global Administrator or Exchange Administrator privileges in your Microsoft 365 tenant and a compiled list of your existing Gmail users, group addresses, and forwarding rules before initiating changes.

Solution 1Recommended

Configure User Licenses, Aliases, and Shared Mailboxes

Optimize your Microsoft 365 subscription costs by properly utilizing aliases and shared mailboxes for secondary addresses, which generally do not require their own user licenses.

Microsoft 365 licensing is tied to individual human users. You do not need to purchase separate licenses for alternate email addresses (aliases) assigned to a single person, nor for shared mailboxes (like info@ or sales@) that multiple licensed team members access.

Assign Primary User Licenses

Log in to the Microsoft 365 Admin Center, navigate to 'Users' > 'Active users', select a user, and assign the appropriate Microsoft 365 license on the 'Licenses and apps' tab.

Add Email Aliases

While viewing the user's properties pane, click 'Manage username and email' to add alternate email addresses. Mail sent to these aliases will deliver directly to the user's primary inbox.

Create Shared Mailboxes

Navigate to 'Teams & groups' > 'Shared mailboxes' and click 'Add a shared mailbox'. Enter the name and email address, save it, and then click 'Add members' to grant your licensed users access to read and reply from this address.

Configure User Licenses, Aliases, and Shared Mailboxes

Shared Mailbox Limits: A shared mailbox only requires a paid license if it exceeds 50 GB of storage capacity or if you need to enable advanced compliance features like In-Place Archiving.

Solution 2

Set Up External Forwarding and Catch-All Routing

Configure Exchange Online policies to permit forwarded messages to external recipients and capture all misaddressed emails sent to your domain.

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1. Download the Installer: Visit the official WPS Office website to download the free version suited for your Windows, Mac, or Linux operating system.
2. Install and Open: Run the setup file and follow the on-screen prompts. Once installed, WPS Office will automatically recognize standard Office file formats.
3. Edit Email Attachments: Save documents directly from your new Microsoft 365 inbox and open them in WPS Office to edit, collaborate, and save with perfect layout retention.

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Frequently Asked Questions

Do I need to pay for a Microsoft 365 license for an info@ or sales@ address?

No. You can set up shared mailboxes for general inquiry addresses. These do not require a separate Microsoft 365 license unless the mailbox storage exceeds 50 GB or requires advanced archiving.

Why are my forwarded emails to external recipients failing after moving to Microsoft 365?

By default, Microsoft 365 blocks automatic email forwarding to external domains for security and anti-spam reasons. A global administrator must update the Outbound Spam Filter policy in the Microsoft 365 Defender portal to allow automatic external forwarding.

Can I convert an existing user mailbox into a shared mailbox to save a license?

Yes. In the Microsoft 365 Admin Center, navigate to the active user's settings pane and select 'Convert to shared mailbox'. Once the conversion is complete, you can safely remove the paid user license while retaining all historical emails.

How can I convert emails into a trackable conversation with statuses in Microsoft 365?

While Outlook offers basic conversation threading, creating a robust, status-tracked system usually requires utilizing Microsoft 365 Groups, integrating with Microsoft Teams, or setting up a shared SharePoint list and Power Automate flow to act as a lightweight ticketing system.

Outlook & Email Problems