Passwordless · Microsoft Entra
Identity knowledge base · Authentication

Going passwordless with Microsoft Entra ID

The working reference for designing, deploying and operating phishing-resistant, passwordless sign-in across an Entra ID workforce tenant: methods, policy, Conditional Access, rollout, recovery and troubleshooting.

01

Overview

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Passwordless authentication replaces the password as the primary credential with something the user has (a device-bound or synced private key) unlocked by something they are or know locally (biometric or PIN). The secret never leaves the authenticator and is never typed into a web page, so there is nothing for an attacker to phish or replay.

These two terms are often confused:

  • Passwordless: no password is entered at sign-in. Microsoft Authenticator phone sign-in is passwordless, but a user can still be tricked into approving a sign-in on an attacker’s proxy page.
  • Phishing-resistant: the credential is cryptographically bound to the legitimate origin (login.microsoftonline.com), so an adversary-in-the-middle page cannot obtain a usable assertion. Passkeys (FIDO2), Windows Hello for Business, Platform SSO on macOS and certificate-based authentication qualify.

The target state is phishing-resistant passwordless: every user has at least two phishing-resistant credentials, Conditional Access requires them by authentication strength, and the password is no longer used in daily sign-in.

1 Sep 2026
Passkeys became the default authentication method in Entra ID; SMS/voice users are auto-enabled and nudged.
1 Feb 2027
Microsoft-provided SMS and voice MFA retire for most users. No opt-out.
10
Passkey profiles allowed per tenant (up from 3), each targeting its own groups.
≥ 2
Phishing-resistant credentials per user as the design standard: a primary and a recovery/roaming credential.
Context

Microsoft now designs Entra on the assumption that users sign in without passwords. System-preferred authentication now applies to first-factor sign-in, so users with a passkey or certificate registered no longer see a password prompt at all. Tenants without a plan will get these changes on Microsoft’s schedule.

02

What changed in 2026

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Dates are for the worldwide/GCC cloud unless noted. The next upcoming milestone is highlighted automatically based on today’s date.

  1. Mar 2026
    Passkey profiles and synced passkeys GA

    Group-targeted FIDO2 configuration with a passkeyType of device-bound, synced or both. Existing FIDO2 settings migrate into a “Default passkey profile” (worldwide migration May to June 2026; GCC High/DoD October 2026).

  2. May 2026
    Profile limits raised; account recovery GA

    Up to 10 passkey profiles per tenant with a dedicated 20 KB policy allocation. Entra ID account recovery (government ID + biometric verification via partners) became generally available.

  3. Late May 2026
    Entra passkeys on Windows and External ID passkeys GA

    Device-bound passkeys in the Windows Hello container for unmanaged, personal and shared PCs. Passkeys for Entra External ID (customer) tenants also reached GA.

  4. 30 Jun 2026
    System-preferred authentication for first factor

    Strongest registered method is offered first at primary sign-in. Order: TAP, passkey, CBA, Authenticator, external MFA, TOTP, telephony, QR code, password.

  5. 1 Sep 2026
    Passkeys by default

    Users enabled for SMS/voice are auto-enabled for passkeys (all types allowed) and nudged by a registration campaign with unlimited snoozes. Opt-out of auto-enablement via Graph is available until 1 Feb 2027.

  6. 30 Oct 2026
    Customer-managed telecom providers

    Organizations that must keep SMS/voice can contract a carrier through the Microsoft Security Store and bear the cost directly. Entra passkeys on Windows reach GCC High/DoD during October.

  7. Jan 2027
    Security questions removed from SSPR

    Security questions are phased out as a self-service password reset method.

  8. 1 Feb 2027
    Microsoft SMS/voice retired for users

    Applies to all users except Global Administrators and external users. Users whose only MFA method is SMS/voice get a blocking prompt to register a passkey.

  9. 1 Jul 2027
    Microsoft SMS/voice retired for Global Admins & external users

    After this date only customer-managed telecom can deliver SMS/voice codes.

Action

If a tenant still has users whose only MFA method is SMS or voice, those users will be forced through passkey registration at their next sign-in after 1 Feb 2027. Run Microsoft’s SMS/voice usage analyzer now and schedule the migration yourself.

03

Methods compared

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Entra supports several passwordless credentials. They differ in where the key lives, whether they can sign in to the device itself, whether the authenticator can prove its make and model (attestation), and what they cost to issue. Filter the table to the properties you need.

MethodPhishing-resistantKey storageDevice sign-inAttestationUnmanaged devicesBest fit
Windows Hello for BusinessCloud Kerberos Trust / key / cert trustYesTPM on the PCYesTPM-backedNoManaged Windows, primary sign-in
Platform SSO (macOS)Secure Enclave keyYesSecure EnclaveYesNoNoManaged Macs
Entra passkey on WindowsGA May 2026YesWindows Hello containerNoNoYesPersonal, shared or unjoined PCs
FIDO2 security keyUSB / NFC / BLEYesHardware keyYesEntra / hybrid joinedYesYesAdmins, shared devices, high assurance
Passkey in Microsoft AuthenticatorYesPhone secure hardwareNoYesYesRoaming credential, BYOD, backup
Synced passkeyiCloud Keychain, Google Password Manager, third-party managersYesProvider cloud, syncedNoNoYesBroad workforce, contractors, easy recovery
Certificate-based authSmart card / PIV / CAC, multifactor bindingYesSmart card or device certYesPKI-issuedYesFederal and regulated, existing PKI
Authenticator phone sign-inNumber match pushNoPhoneNoNoYesTransitional only
QR code + PINFrontline, shared mobileNoN/ANoNoShared mobileFrontline where keys aren’t practical

Method notes

Windows Hello for Business

Phishing-resistantDevice sign-in

The default for managed Windows. A TPM-protected key pair per user per device, unlocked by face, fingerprint or PIN. Issues the Primary Refresh Token at Windows sign-in, so browser and app SSO follow.

Hybrid
Cloud Kerberos Trust (no PKI)
Cloud-only
No trust model needed
Limits
One device; needs a roaming credential too

Entra passkey on Windows

Phishing-resistantNo attestation

Stores a device-bound Entra passkey in the Windows Hello container on PCs that aren’t joined or registered. Used for web and app sign-in; not for signing in to Windows itself.

Register
Per account, per device
Block it
Add Windows Hello AAGUIDs to a profile block list

FIDO2 security keys

Phishing-resistantAttested

Portable hardware authenticators. The strongest option for privileged roles and shared workstations. Use attestation plus an AAGUID allow list to restrict to approved models, and buy FIPS-validated keys where policy demands.

Cost
Hardware + logistics
Plan for
Two keys per admin; loss process

Passkey in Authenticator

Phishing-resistantAttested

Device-bound passkey held in Microsoft Authenticator (iOS/Android). Signs in on the phone directly, or on another device via QR + Bluetooth proximity (hybrid transport). A good second credential for Windows Hello users.

Needs
Bluetooth for cross-device
Registers via
My Security Info or campaign

Synced passkeys

Phishing-resistantNot device-bound

Passkeys stored and synced by a platform or third-party credential manager. Easy to use and recover, but you are relying on the security of the provider account. Cannot be attested, so enforcing attestation in a profile excludes them.

Assurance
Suits NIST AAL2 use; use device-bound for AAL3

Certificate-based authentication

Phishing-resistantPKI

Native Entra CBA with X.509 certificates on smart cards (PIV/CAC) or devices. Configure the binding as multifactor for it to count as phishing-resistant. Removes the need for AD FS in many federal environments.

Needs
CA trust + CRL publication in Entra

Security keys to evaluate

FIDO2 with PIN, suitable for attestation
  • YubiKey 5 SeriesUSB-A, USB-C, NFC and Lightning options. Broad Entra and Windows sign-in support.
    View options
  • YubiKey 5 FIPS SeriesFIPS 140-validated models for federal and regulated tenants.
    View options
  • Feitian BioPass / ePass FIDO2Fingerprint and PIN models; lower cost per key for frontline issuance.
    View options
  • Token2 FIDO2 keysBudget PIN-protected keys with USB-C and NFC variants.
    View options

Some links in this box are affiliate links; the site may earn a commission if you buy through them. Check each model’s AAGUID, attestation and certification status against your passkey profile before buying.

04

How it works

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Passkey (FIDO2 / WebAuthn) sign-in

At registration the authenticator generates a key pair scoped to the relying party ID. Entra stores only the public key and, when available, the authenticator’s AAGUID and attestation. At sign-in Entra sends a challenge; the browser passes it to the authenticator only if the page origin matches the relying party. This origin check is what stops phishing proxies.

Sequence diagram of a passkey sign-in to Microsoft Entra ID User Authenticator Browser / OS Entra ID 1Start sign-in 2Challenge + RP ID 3get(), origin checked 4Biometric / PIN verified locally, never sent 5Signed assertion private key stays on device 6Assertion 7Verify signature, issue tokens
A phishing page on a look-alike domain fails at step 3: the browser refuses to use a credential whose relying party doesn’t match the page origin, so no assertion exists to steal.

Windows Hello for Business: Cloud Kerberos Trust

For hybrid-joined and Entra-joined devices that still need on-premises Kerberos (file shares, legacy apps), Cloud Kerberos Trust is the recommended model. It needs no PKI and no certificate deployment to clients. Entra ID issues a partial Kerberos TGT from a read-only-DC-style AzureADKerberos object in AD; a writable domain controller exchanges it for a full TGT.

Cloud Kerberos Trust flow between a Windows device, Entra ID and an on-premises domain controller Windows deviceWHfB gesture Entra IDPRT + partial TGT Domain controllerServer 2016+ patched 12 3 · Partial TGT exchanged for full TGT for on-prem resources No certificates issued to users or devices
Members of highly privileged AD groups (Domain Admins and similar) are denied by the AzureADKerberos object’s password replication policy and won’t get an on-prem TGT this way. Keep privileged on-prem administration on separate accounts and workstations.
05

Configure the tenant

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Everything below lives under Entra admin center › Protection › Authentication methods unless noted. Manage methods only in the converged Authentication methods policy; the legacy MFA and SSPR method settings are retired.

Passkey profiles

A passkey profile is a named set of FIDO2 rules assigned to groups. Build profiles by persona rather than one tenant-wide rule.

SettingOptionsGuidance
Passkey typeDevice-bound · Synced · BothDevice-bound only for privileged roles; both for general workforce.
Enforce attestationOn · OffOn restricts to device-bound authenticators that can prove their model. Synced passkeys and Entra passkeys on Windows cannot attest.
Key restrictionsAllow list · Block list (AAGUIDs)Allow-list approved security key models and Authenticator for admins. Use a block list to exclude specific providers.
TargetGroupsUp to 10 profiles per tenant. Assign break-glass accounts to the privileged profile.

Suggested profile set

ProfileTargetTypeAttestationKeys
PK-PrivilegedTier-0/1 admin accounts, break-glassDevice-boundOnAllow: approved FIDO2 models
PK-WorkforceAll employeesBothOffOpen, or block-list unapproved providers
PK-FrontlineShared-device workersDevice-boundOnAllow: issued security keys
PK-ExternalContractors in tenantBothOffOpen

Well-known AAGUIDs

Verify against the current Microsoft documentation and vendor metadata before building an allow list.

AuthenticatorAAGUID
Microsoft Authenticator (iOS)90a3ccdf-635c-4729-a248-9b709135078f
Microsoft Authenticator (Android)de1e552d-db1d-4423-a619-566b625cdc84
Windows Hello08987058-cadc-4b81-b6e1-30de50dcbe96
9ddd1817-af5a-4672-a2b9-3e3dd95000a9
6028b017-b1d4-4c02-b4b3-afcdafc96bb2

Temporary Access Pass (TAP)

A time-limited passcode that satisfies strong authentication so a user can register passwordless credentials without ever knowing a password. Enable it for all users who will onboard passwordless, prefer one-time use, and keep lifetimes short (hours, not days).

PowerShell · Microsoft Graph
# Scopes: UserAuthenticationMethod.ReadWrite.All
Connect-MgGraph -Scopes "UserAuthenticationMethod.ReadWrite.All"

New-MgUserAuthenticationTemporaryAccessPassMethod `
  -UserId "new.hire@contoso.com" `
  -BodyParameter @{ lifetimeInMinutes = 480; isUsableOnce = $true }

Registration campaign

Set the campaign to target passkey-enabled users and prompt for a passkey (Microsoft Authenticator is the alternative target). The 1 Sep 2026 change enabled a Microsoft-managed campaign with unlimited snoozes for SMS/voice users; set your own snooze limit once communications have gone out.

Opting out of automatic passkey enablement

Only if you need time to stand up a customer-managed telecom provider. The opt-out is valid until 1 Feb 2027 and does not move the retirement dates.

HTTP · Microsoft Graph beta
PATCH https://graph.microsoft.com/beta/policies/authenticationmethodspolicy
Content-Type: application/json

{
  "optOutSettings": {
    "passkeyDynamicMigration": true
  }
}

Windows Hello for Business with Cloud Kerberos Trust

  1. Create the Entra Kerberos server object in each domain that has users signing in with WHfB.
  2. Deploy WHfB with Intune (Settings catalog › Windows Hello for Business): Use Windows Hello For Business = true, Use Cloud Trust For On Prem Auth = Enabled, TPM required.
  3. Confirm clients are Windows 10 21H2+ or Windows 11 with current cumulative updates.
PowerShell · run on a domain-joined server
Install-Module -Name AzureADHybridAuthenticationManagement -AllowClobber
$domain     = $env:USERDNSDOMAIN
$cloudUpn   = "hybrid.admin@contoso.com"   # Hybrid Identity Administrator
$domainCred = Get-Credential                  # Domain Admin in $domain

Set-AzureADKerberosServer -Domain $domain -UserPrincipalName $cloudUpn -DomainCredential $domainCred
Get-AzureADKerberosServer -Domain $domain -UserPrincipalName $cloudUpn -DomainCredential $domainCred
Rotate

Rotate the AzureADKerberos key periodically (Set-AzureADKerberosServer -RotateServerKey) as you would krbtgt, and include the object in your AD tiering model: it is Tier 0.

06

Conditional Access

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Registered passkeys only improve security once Conditional Access requires them. Use authentication strengths as the grant control rather than “Require MFA”.

Built-in strengthIncludesUse for
Multifactor authenticationAny MFA combination, including SMS and voiceLegacy baseline only
Passwordless MFAPhishing-resistant methods + Authenticator phone sign-inTransitional workforce policy
Phishing-resistant MFAWHfB / platform credential, passkeys (FIDO2), CBA multifactorTarget state; mandatory for admins

Create a custom strength when you need to require a specific authenticator, for example “passkey with AAGUID in the approved security key list” for Tier-0 roles.

Baseline policy set

IDPolicyAssignmentGrant
CA-PWL-01Admins require phishing-resistant MFAAll directory roles · all resourcesCustom strength: attested device-bound passkey
CA-PWL-02Protect security info registrationAll users · user action: register security informationCompliant device or TAP-inclusive strength
CA-PWL-03Workforce phishing-resistant (pilot, then all)Pilot group, then all users · all resourcesPhishing-resistant MFA
CA-PWL-04Sensitive apps require device-bound credentialTier-1 apps (finance, HR, source control)Custom strength excluding synced passkeys
CA-PWL-05Block legacy authenticationAll users · legacy clientsBlock
Break-glass

Keep two cloud-only emergency access accounts excluded from the CA-PWL policies, each with its own FIDO2 security keys stored in separate secure locations. Alert on every sign-in to them.

07

Choose by persona

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Pick the user population to see the recommended primary, roaming and fallback credentials, and the design notes that matter for that group.

08

Rollout plan

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Six phases, each gated on the previous one. Tick items as you complete them; progress is saved in this browser only.

0 / 0
09

Onboarding & recovery

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Most user friction happens on day one and when a device is lost. Design both processes before the pilot.

Day one

  1. Identity is proofed by HR/manager process or Entra account recovery identity verification.
  2. Helpdesk or the joiner workflow issues a one-time TAP (short lifetime) through a secure channel.
  3. User signs in to Windows setup (Autopilot) or My Security Info with the TAP.
  4. User registers Windows Hello for Business, then a passkey in Authenticator as the roaming credential.
  5. The password, if one exists for directory sync, is never disclosed to the user.

Lost or replaced device

ScenarioSelf-service pathAssisted path
New laptop, phone still availableSign in with Authenticator passkey via QR/Bluetooth, provision WHfBNot needed
Phone lost, laptop availableSign in with WHfB, register new Authenticator passkey, delete old oneNot needed
All credentials lostEntra account recovery: government ID + selfie liveness check via verification partner, then register new credentialsHelpdesk verifies identity and issues TAP
Security key lost (admin)Use second registered keyRevoke lost key; issue replacement via PAM-controlled process
Helpdesk

The helpdesk issuing a TAP becomes the new phishing target. Require verified identity (video call with ID, manager approval or Verified ID presentation) before any TAP is issued, and log every issuance.

10

Removing the password

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Entra ID does not let you delete a user’s password outright, and hybrid identities still carry an AD password. In practice, you take the password out of daily use and stop disclosing it to users.

  • Hide it on Windows. Intune setting Enable Passwordless Experience (Windows 11, Entra-joined) removes the password option from Windows sign-in and in-session prompts.
  • Stop requiring it. System-preferred authentication skips the password prompt when a passkey or certificate is registered; phishing-resistant CA policies make it insufficient anyway.
  • Make it unknown. Set long random passwords at provisioning, don’t disclose them, and rotate on a schedule for users who are fully passwordless.
  • Shrink SSPR. Remove security questions (Microsoft removes them in Jan 2027) and SMS; recovery moves to passkeys, TAP and account recovery.
  • Watch residual use. Report sign-ins still using password as the first factor, by app, and treat each as a remediation item.
Legacy

Apps that only speak LDAP bind, NTLM or basic auth will keep passwords alive. Front them with Entra application proxy / private access with pre-authentication, or modernize them to SAML/OIDC.

11

Monitoring & KPIs

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KPISourceTarget
Users passwordless-capableUser registration details (isPasswordlessCapable)≥ 95% of in-scope users
Users with ≥ 2 phishing-resistant methodsUser registration details (methodsRegistered)≥ 90%
Sign-ins using phishing-resistant authSign-in logs, authentication details≥ 90% interactive sign-ins
Users with SMS/voice as only MFASMS/voice usage analyzer0 before 1 Feb 2027
TAPs issued per weekAudit logsTrending down after onboarding
PowerShell · registration readiness
Connect-MgGraph -Scopes "AuditLog.Read.All"
$r = Get-MgReportAuthenticationMethodUserRegistrationDetail -All
$r | Group-Object IsPasswordlessCapable | Select-Object Name, Count
$r | Where-Object { $_.MethodsRegistered -contains "mobilePhone" -and $_.MethodsRegistered.Count -eq 1 } |
     Select-Object UserPrincipalName   # SMS-only users
KQL · Log Analytics (SigninLogs)
SigninLogs
| where TimeGenerated > ago(30d) and ResultType == 0
| mv-expand d = parse_json(AuthenticationDetails)
| where tobool(d.succeeded) == true
| summarize SignIns = dcount(CorrelationId) by Method = tostring(d.authenticationMethod)
| order by SignIns desc
12

Troubleshooting

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SymptomLikely causeCheck / fix
Passkey registration blocked: “authenticator not allowed”Attestation enforced or AAGUID not in allow list for the user’s profileConfirm profile membership and AAGUID; synced passkeys can’t satisfy attestation
Authenticator passkey QR flow hangs on PCBluetooth off or blocked on the PCEnable Bluetooth; hybrid transport needs proximity
WHfB works but on-prem file shares promptNo on-prem TGT from Cloud Kerberos TrustRun dsregcmd /status and check OnPremTgt : YES; klist cloud_debug; confirm AzureADKerberos object and DC patching
Domain Admin can’t get on-prem SSO with WHfBPrivileged groups denied by AzureADKerberos replication policyBy design; use a separate admin account and PAW
User still asked for passwordNo phishing-resistant method registered, or app forces password (legacy/federated)Check authentication methods on the user; review sign-in log authentication details
CA blocks user “does not meet authentication strength”Registered method not included in the required strengthSign-in log › Conditional Access tab shows the strength evaluated; register an included method
Entra passkey on Windows not offeredWindows Hello AAGUIDs on a block list, or attestation enforced in the user’s passkey profileReview the user’s profile; Entra passkeys on Windows can’t satisfy attestation
cmd · WHfB diagnostics
REM Look for AzureAdPrt : YES, CloudTgt : YES, OnPremTgt : YES
dsregcmd /status

REM Cloud Kerberos Trust state
klist cloud_debug

REM Reset WHfB for the signed-in user, then re-provision
certutil -deletehellocontainer
13

FAQ

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Are synced passkeys secure enough for the enterprise?

They are phishing-resistant, so they stop credential phishing, the most common attack against sign-in. The residual risk moves to the security of the user’s Apple, Google or password-manager account. Allow them for general workforce access and require device-bound credentials for privileged roles and your most sensitive apps via custom authentication strengths.

Do we still need Windows Hello for Business if we have passkeys?

Yes, on managed Windows. WHfB signs the user in to Windows and issues the Primary Refresh Token, giving SSO to everything after. Entra passkeys on Windows are for unmanaged and shared PCs and cannot sign in to the device.

What happens to users who ignore the passkey nudge?

Until their SMS/voice retirement date, they can keep snoozing (unless you set a limit). After 1 Feb 2027 (1 Jul 2027 for Global Admins and external users), a user whose only method is Microsoft-provided SMS/voice must register a passkey to finish signing in.

Can we keep SMS for a regulated population?

Yes, via a customer-managed telecom provider from the Microsoft Security Store (from 30 Oct 2026). You contract and pay the carrier. Treat it as a time-limited exception with a documented end date.

How do guests and B2B users fit in?

Guests authenticate in their home tenant. Configure cross-tenant access settings to trust MFA (and device compliance) from partner tenants you trust, and require an authentication strength for guests on sensitive resources.

Which methods meet NIST AAL3 or federal phishing-resistant mandates?

Device-bound, hardware-backed authenticators: PIV/CAC via CBA, FIDO2 security keys (FIPS-validated where required) and platform authenticators such as WHfB. Synced passkeys are generally positioned at AAL2. Confirm against your agency or regulator’s current guidance.

14

Glossary

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AAGUID
Authenticator Attestation GUID: a 128-bit identifier for an authenticator make and model, used in allow and block lists.
Attestation
A signed statement from the authenticator proving its model and provenance, validated against FIDO metadata.
Authentication strength
A Conditional Access control that names the exact method combinations allowed for a resource.
CTAP / WebAuthn
The FIDO2 protocols between authenticator and client (CTAP) and between browser and relying party (WebAuthn).
Device-bound passkey
A passkey whose private key cannot leave the hardware it was created on.
Hybrid transport
Cross-device FIDO flow using a QR code plus Bluetooth proximity, e.g. phone passkey signing in on a PC.
Passkey profile
A group-targeted set of FIDO2 rules: passkey type, attestation and key restrictions.
PRT
Primary Refresh Token: the device-bound Entra token issued at Windows/macOS sign-in that drives SSO.
Relying party ID
The domain a passkey is scoped to; the browser enforces the match with the page origin.
Synced passkey
A passkey replicated across a user’s devices by a credential manager.
System-preferred authentication
Entra offering the strongest registered method first, for both first factor and MFA.
TAP
Temporary Access Pass: a time-limited code used to bootstrap or recover passwordless credentials.
15

Sources

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Entra changes monthly. Re-verify dates and limits against these pages at each review.