LastPass
Why LastPass
LastPass stores and autofills passwords, passkeys, and secure credentials in a zero-knowledge encrypted vault. It targets lean teams and SMBs who want centralised credential management without self-hosting infrastructure. Business tiers add admin controls, SSO, and password-sharing policies to enforce security across the team.
What it does
LastPass is a password manager. It stores passwords, passkeys, secure notes and other credentials in an encrypted vault. A browser extension and mobile apps fill them in when you log in, and a generator creates strong, unique passwords for new accounts.
The vendor describes a zero-knowledge model: your data stays private even from LastPass, and only you can open the vault with your master password. The business plans add an admin dashboard on top, with user groups, policies, shared folders and reporting.
Why you would need it
The pain starts the day a team shares logins. Someone pastes the Google Ads password into Slack. A freelancer needs access to the analytics account. A colleague leaves and nobody knows which tools they could open. A spreadsheet or a chat history is not a password system.
With a shared vault you give people access to a folder, not to a password. LastPass says you can share a login so that the other person can use it without ever seeing it in plain text, and you can revoke access later. That is the change that matters to me: access becomes something you manage, not something you hope people forgot.
Where it fits
LastPass sits under every other tool in your stack. Each tool login goes into it, and it feeds your people through the browser extension. On the admin side it connects to your user directory, so accounts are created and removed when people join and leave. It can also act as a single sign-on layer for business apps.
It replaces shared spreadsheets, notes apps and passwords saved in the browser. It does not replace an identity provider if you already run one. 1Password is the closest alternative in this library.
What stands out
- Business sharing with shared folders, group permissions and revocation, which suits freelancers and agencies working in your accounts.
- More than 100 admin policies covering password rules, access, devices and multifactor authentication.
- Directory integration and federated login, so onboarding and offboarding follow your existing user directory.
- SaaS Monitoring and SaaS Protect, which show which cloud apps staff use, including unapproved ones, and let admins block risky apps.
My take
For a small team the value is simple. People stop reusing passwords, and you get a clean way to share accounts with outsiders. The admin side is deeper than I would expect at this size, especially the policies and the audit trail.
What I would watch is trust. LastPass reported a security incident in 2022, and some teams moved to other tools afterwards. That is a fair reason to compare before you commit, and to insist on strong master passwords and multifactor authentication for everyone. A password manager is only as good as the master password behind it.
Verdict
Pick LastPass if you need shared logins, admin policies and directory integration for a team, and one of its business plans fits your headcount. Skip it if the 2022 incident is a hard no for your risk appetite. In that case compare 1Password and Bitwarden first.
Books behind it
Notes
Your note
Before you choose
The 2022 security incident
LastPass disclosed a security incident in 2022, and some teams switched tools because of it. Read the vendor's own incident notice before you decide. Whatever you pick, enforce long, unique master passwords and multifactor authentication.
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Plans differ by audience
There are plans for individuals and families, and separate plans for teams and businesses, plus Business Max and a plan for managed service providers. The free plan is limited to one device type and basic features. Single sign-on, directory integration and the full policy set sit on the business plans. Check which plan holds the admin features you need before you roll it out.
Trials are short
Personal plans have a 30-day trial and business plans a 14-day trial, both without a credit card according to the vendor. Use that time to test sharing with a real outsider, such as a freelancer, and to try offboarding someone.
Compare it with 1Password and Bitwarden
1Password is the usual alternative, and Bitwarden is the open-source option. Compare the admin controls, the sharing model and how each one handles access for contractors. If you already use Google Workspace or Microsoft for identity, check how well directory sync works for your setup.