As Windows 11 Home continues to shape the future of personal computing, many users still prefer setting up a local account over using a Microsoft online account—especially for better control over privacy and local resources. At the same time, integrating Microsoft 365 (formerly Office 365) ensures access to essential productivity tools like Word, Excel, Outlook, and more. In this in-depth guide, we’ll walk you through the process of setting up a secure local account and then show you how to link your Microsoft 365 subscription in Windows 11 Home + MS Office 2021 Pro Plus.

Why Choose a Local Account Over a Microsoft Account?

Although Microsoft pushes users to sign in with a Microsoft account during Windows 11 Home setup, many users still prefer local accounts for the following reasons:

  • Increased privacy: No continuous data sync with Microsoft servers.

  • More control: You dictate your account policies and password rules.

  • Minimal distractions: Fewer notifications, ads, and cloud integrations.

  • Offline functionality: Your account is fully functional even without internet.

However, the drawback of a local account is the absence of seamless access to cloud services like OneDrive or Microsoft Store until you log in separately.

That’s why linking Microsoft 365 later—on your own terms—is a great strategy.

Part 1: Creating a Secure Local Account During Initial Setup

Windows 11 Home makes it difficult—but not impossible—to create a local account during setup. Here’s how to do it:

Step 1: Disconnect From the Internet

  1. When setting up your PC, wait until the “Let’s connect you to a network” screen appears.

  2. Click “I don’t have internet” or press Shift + F10 to open Command Prompt and type:

taskkill /F /IM oobenetworkconnectionflow.exe

 

  1. Then continue offline.

Step 2: Create a Local Account

  1. On the account creation screen, select “Continue with limited setup”.

  2. Enter a username that’s not easily guessable.

  3. Choose a strong password that contains:

    • At least 12 characters

    • Uppercase and lowercase letters

    • Symbols and numbers

  4. Set up three security questions that are hard to guess.

Pro Tip: Avoid using common passwords or dictionary words. Use a passphrase or password manager to generate secure combinations.

Part 2: Creating a Local Account After Setup (Optional)

If you’ve already created a Microsoft account during installation but want to switch:

Step 1: Add a Local Account

  1. Go to Settings > Accounts > Family & other users.

  2. Click Add account > I don’t have this person’s sign-in information > Add a user without a Microsoft account.

  3. Fill in the credentials and set security questions.

Step 2: Change Account Type

  1. Select the new local user under Other users.

  2. Click Change account type > Administrator.

  3. Sign out of the Microsoft account and log in using the new local account.

Part 3: Enhancing Security of Your Local Account

Just creating a local account isn’t enough—here’s how to lock it down.

1. Enable BitLocker (If Available)

  • Go to Settings > Privacy & security > Device encryption.

  • Turn on BitLocker or Device Encryption to protect your files.

2. Set Up Windows Hello

  1. Go to Settings > Accounts > Sign-in options.

  2. Set up a PIN, Fingerprint, or Face Recognition if your device supports it.

3. Use Account Lockout Policies

  1. Press Windows + R, type secpol.msc, and press Enter.

  2. Navigate to Account Lockout Policy:

    • Set Account lockout threshold to 5

    • Set Lockout duration to 15 minutes

4. Regularly Update Windows

Ensure your system is updated to the latest version by going to Settings > Windows Update.

Part 4: Linking Your Microsoft 365 Account

Now that your secure local account is in place, it’s time to link your Microsoft 365 subscription.

Step 1: Sign In to Microsoft 365 Apps

  1. Open any Office app (like Word or Excel).

  2. Go to File > Account.

  3. Click Sign in and enter your Microsoft 365 credentials.

  4. If you have a product key, select Activate Product, then follow the instructions.

Your apps are now linked to your Microsoft 365 account while your Windows account remains local.

Step 2: Verify Activation

  1. In any Office app, go to File > Account.

  2. Check for the “Product Activated” message.

  3. If using Windows 11 Home + Ms Office 2021 Pro Plus, you’ll see this status automatically after successful linking.

Part 5: Sync Select Microsoft Services (Optional)

You can still access Microsoft Store, OneDrive, or Xbox services without switching your local account to a Microsoft one:

  • Open the Microsoft Store, click the profile icon, and sign in.

  • Open OneDrive, and log in with your Microsoft credentials.

  • Use the Mail app to access Outlook or Exchange-based emails.

Each service will function independently without compromising your local Windows login.

Benefits of Linking Microsoft 365 to a Local Account

  • You retain full ownership and privacy of your PC.

  • Microsoft 365 provides cloud-based access to files, collaboration tools, and productivity apps.

  • You can install Office apps on multiple devices without being forced into Microsoft’s cloud ecosystem fully.

  • Keeps your Windows leaner and faster by reducing background sync.

Common Issues and Troubleshooting

1. Activation Fails After Linking

  • Check your internet connection.

  • Verify the product key is valid.

  • Restart the Office app or system.

2. Office Apps Keep Asking for Sign-In

  • Go to File > Account > Sign out, then sign in again.

  • Repair Office via Settings > Apps > Installed Apps > Microsoft Office > Modify > Quick Repair.

3. Can’t Enable BitLocker

  • BitLocker requires Windows 11 Pro. Device Encryption is a limited alternative available in Home editions.

  • Check for TPM 2.0 in BIOS.

FAQs

1. Can I use Microsoft 365 without converting my local account to a Microsoft account?

Yes, you can use Microsoft 365 apps independently by signing into the apps directly without switching your Windows account.

2. Will Office 2021 Pro Plus work with a local account?

Absolutely. You can activate and use Windows 11 Home + Ms Office 2021 Pro Plus without using a Microsoft account on your PC.

3. What’s the difference between Microsoft 365 and Office 2021 Pro Plus?

Microsoft 365 is subscription-based with cloud features and ongoing updates. Office 2021 Pro Plus is a one-time purchase with no updates.

4. Is a local account less secure than a Microsoft account?

Not necessarily. With strong passwords, security questions, and BitLocker encryption, local accounts can be very secure.

5. Can I switch back to a Microsoft account later?

Yes. Go to Settings > Accounts > Your info > Sign in with a Microsoft account instead and follow the prompts.