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License & Subscription Issues

Project for Office Plan E3 vs Project Plan 1 Licensing Explained

John WilsonJohn Wilson Oct 1, 2026 873 views

Question details

The user needs to understand the functional differences between Project for Office Plan E3 and Project Plan 1, specifically regarding access permissions for viewing, creating, and editing projects.

Project for Office Plan E3 vs Project Plan 1 Licensing Explained
Product
Microsoft Project
Device & OS
not provided
Scenario
Determining the correct Microsoft Project license required to actively create and manage projects or submit timesheets.
Observed behavior
Users assigned only the Project for Office Plan E3 license experience view-only access and are unable to create projects, edit tasks, or enter Project Online timesheets.
Before you start

Log in to your Microsoft 365 admin center to check your current assigned licenses and verify if you have an active standalone Project plan.

Solution 1Recommended

Assign or Upgrade to a Valid Project Plan License

To gain permissions to create, edit, or manage projects, you must assign a standalone Project Plan 1, Plan 3, or Plan 5 license to the user account.

The Project for Office (Plan E3) service is included by default in Microsoft 365 E3 subscriptions, but it only provides limited, view-only access to projects and roadmaps shared with the user. It is not equivalent to a standalone Project license.

To actively work on projects or submit timesheets, an administrator must assign an eligible Project Plan.

1
Access the Microsoft 365 Admin Center

Navigate to admin.microsoft.com and log in using an administrator account.

2
Navigate to Active Users

On the left sidebar, go to Users, then click on Active users. Search for and select the user who needs project editing capabilities.

3
Manage Product Licenses

In the user details pane that appears on the right, click on the 'Licenses and apps' tab.

4
Assign the New Project License

Scroll down the list of available licenses, check the box next to Project Plan 1, Project Plan 3, or Project Plan 5, and click 'Save changes'.

Assign or Upgrade to a Valid Project Plan License
Timesheet Entry Requirements: If the user specifically needs to enter Project Online timesheets, they will require at least a Project Online Essentials license or an eligible Project Plan license.
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Frequently Asked Questions

Can I create new projects with Project for Office Plan E3?

No, Project for Office Plan E3 only provides limited, view-only access to projects and roadmaps shared with you. You need a Project Plan 1, Plan 3, or Plan 5 license to create or edit projects.

Why can't I enter my Project Online timesheet?

A user with only the E3 service does not have the necessary permissions for timesheets. Timesheet entry typically requires at least a Project Online Essentials license or an eligible standalone Project Plan license.

Is Project Plan 1 included in Microsoft 365 E3?

No, Microsoft 365 E3 only includes the view-only 'Project for Office' service. Project Plan 1 is a separate subscription that must be purchased and assigned individually.

What is the main difference between Project Plan 1 and Plan 3?

Project Plan 1 is a cloud-based project management tool accessed via a web browser, ideal for basic task management. Plan 3 includes the web interface plus the fully installed Project Online Desktop Client for advanced scheduling and resource management.