1Password is raising prices for Family plans by 33 percent starting March 27, 2026, increasing annual costs from $59.88 to $71.88. The password manager cited significant investments in new features including AI-powered item naming, enhanced Watchtower alerts, and proactive phishing prevention as justification for the price increase. Individual plans are seeing even steeper percentage hikes, with annual costs jumping from $35.88 to $47.88.

Many users expressed frustration on Hacker News, questioning whether the new features warrant such a substantial price increase. Some noted that free alternatives from Apple and Google have improved significantly, making the subscription less compelling. The company has shifted away from one-time purchases toward a SaaS model in recent years, following a venture capital funding round that valued the company at over $6 billion.

While some users plan to switch to Apple Passwords or Bitwarden, others acknowledge that 1Password's cross-platform support remains valuable for those not fully in the Apple ecosystem. The timing suggests preparation for a potential IPO, as the company seeks to maximize revenue ahead of a public offering. Users have until their next renewal after March 27 to decide whether the increased cost justifies staying with the service.