The Best Password Managers of 2024

Honorable Mentions

While the top three contenders on our list check pretty much every box for us, there are two more password managers we think are worth mentioning.

Bitwarden

Bitwarden is an open-source password manager designed for individuals and organizations, offering secure password generation, storage and management. It uses 256-bit AES encryption and a zero-knowledge architecture, meaning only users can access their data. It has never experienced a significant security breach; however, it did face a notification about a potential vulnerability in its autofill feature. The resolution of this issue remains a little fuzzy. It starts at just 83 cents a month, which makes it pretty competitive.

LastPass

LastPass is a widely used password manager known for its user-friendly interface and useful features, but it’s also had some security concerns in the past. It operates on a freemium model, providing basic features for free while offering premium plans for enhanced functionality. It also uses AES-256 encryption, but also adds two-factor authentication (2FA). However, its history of data breaches — 2015, 2021 and 2022, for those keeping score — raises concerns about user data safety. Their premium plan costs $3 per month

What Is a Password Manager?

Like we said above, a password manager is a software application that securely stores and organizes your passwords in an encrypted vault. Rather than relying on memory or insecure methods like writing passwords down, password managers provide a centralized, much more secure option.

So how do they work exactly? Password managers operate on a simple principle — they securely store your password data, and they do that through a process called encryption. Let’s take a minute to better understand what that means exactly because it’s pretty important in understanding how these pieces of software do what they do.

Understanding Encryption

At its core, encryption transforms readable information into a coded format, making it inaccessible to prying eyes. When you create an account with a password manager, you’ll be asked to generate a master password. This master password is not stored — it’s actually used to encrypt your password vault, locking it down so only you can access it.

Without getting too deep into the computer science weeds, the encryption process itself utilizes complex algorithms, rendering your stored passwords completely unreadable. Only the correct master password can decrypt this data, allowing you to access your passwords securely. This means that even if a hacker or some other digital ne’er-do-well were to somehow breach the password manager’s servers, they would only see garbled, encrypted data — it’s virtually impossible to decipher.

Reputable, reliable password managers are going to employ strong encryption standards. The majority of the time, you’ll see the acronym AES-256, which is widely regarded as highly secure. It’s the same level of encryption that the majority of the military uses, as well as a good portion of the banking industry.

What Else Can Password Managers Do?

Once logged in with your master password, you can access your vault, where all your passwords are securely stored. That’s pretty much their basic functionality. A lot of password managers go a step further, though. They also let you store additional types of information like secure notes and credit card information.

A lot of password managers will also include a password generator feature that creates strong, complex and unique passwords. Once you start using one, we highly recommend using this feature to start replacing your old passwords with practically unguessable, unhackable passwords.

So that’s the security side of the house. On the convenience side, password managers automatically fill in your login credentials on websites and apps, which makes your day-to-day digital comings and goings a lot more streamlined. Most modern solutions can also synchronize data across devices, which means you’ll be able to access your vault from all of your devices — desktops, smartphones, tablets, you name it.

Essentially, password managers strengthen the security of all of your logins while eliminating the need to memorize anything. Pretty great, but who uses these things? And do you need to?

Why Do People Use Password Managers, and Do I Need One?

Like it or not, a huge portion of our lives are online. Our banking, our shopping, our socializing — a good chunk of it is digital. And the really important information? Well that’s all password protected, of course.

But as our lives became increasingly digital, so too did the threats. Hackers, scammers and other digital criminals can smash through weak passwords in seconds, so if the only thing standing between your money and some guy wearing a hoodie in an internet cafe in Bulgaria is the word “Password123,” you might as well consider yourself cooked.

That’s where password managers come in, though. These tools are a really easy way to bolster your security and increase your online convenience. With that in mind, here are a few of the reasons people choose to use them beyond those factors.

To reduce the risk of phishing: By autofilling credentials only on recognized sites, password managers minimize the chances of entering passwords on malicious websites.

For cross-device synchronization: Most password managers enable access across multiple devices, ensuring your passwords are always available no matter where you are.

For secure storage of sensitive information: Beyond passwords, many allow secure storage of credit card information, notes and documents. Got sensitive information? Stick it in the vault!

To audit password strength: Many password managers include features that check for weak passwords and alert you if your accounts may be compromised. This offers you a proactive way to secure accounts strategically.

So this begs the question — do you actually need to use one? To definitively answer that, you should consider these questions:

Do you have a bunch of online accounts? If you frequently use various services, a password manager can simplify credential management.

Do you forget passwords easily? If you often forget passwords or find yourself using easily guessable ones, a password manager can help.

Are you concerned about online security? If protecting your personal information is a priority, a password manager is a good start.

Do you share passwords? If you need to share access with family or colleagues, many password managers have secure sharing options that will allow you to provide access to services without sharing your actual log in credentials.

Learn More: Best Password Managers for Safari

At the end of the day, using a password manager is a smart choice for improving your online security and streamlining digital life. If you’re managing multiple accounts or interested in prioritizing your security — which, by the way, is becoming increasingly important — investing in a password manager can greatly improve your online experience.

Are There Any Drawbacks to Using a Password Manager?

In a world absolutely filled with cyber threats, password managers are one way to minimize threats from specific attacks. While they offer a lot of advantages like the ones we’ve mentioned above, there are a few potential downsides to using them as well. Understanding both can help you make an informed decision.

Single point of failure: Storing all passwords in one place can be risky. If someone gains access to your master password, it could compromise all accounts. The solution to this, though, is creating a really strong master password that only you have access to.

Cost: While free versions exist, premium features typically require a subscription, which can add up. Generally speaking, though, a decent, functional password manager should only run you a couple of bucks a month.

Learning curve: Hey, we get it. Some people may find it challenging to navigate new software, especially if they are less tech-savvy. Most of the time, though, password managers are pretty easy to use.

Dependency on software: Relying on a password manager means trusting the software and its developers, which introduces risk. If the password manager you choose isn’t reputable or is misrepresenting the security measures they’re taking, you could find yourself in trouble. Make sure you’re only using a password manager recommended by our experts.

Limited offline access: Some managers require an internet connection for optimal functionality, which can make access without connectivity a little challenging. Make sure you’re understanding the ins and outs of the provider’s functionality and your own needs before you pull the trigger.

Potential for data breaches: While reputable password managers use strong encryption, they are not immune to all of the digital threats that are currently out there or those that might be coming in the future. You should always select a password manager that performs regular security audits and is evolving to meet threats as they arise.

>> Learn More: Best Password Managers for Chrome

So with all of that in mind — how they work, how they’re used, what their drawbacks are and how to mitigate them — you might be wondering if password managers are expensive. Let’s talk about that a little bit.

Are Password Managers Expensive?

If we told you there was a software out there that would dramatically increase your online security, noticeably improve the convenience of spending time online and doesn’t require a whole lot of work on your part to use, you might expect to pay what, 50 bucks a month? 100? Don’t worry — password managers cost a fraction of that. Let’s break it down a bit and take a look at the cost spectrum of password managers.

Free options: A lot of password managers offer free versions with basic features — ideal for the budget-conscious not looking to break the bank. These free plans usually include essential functionalities like password storage and autofill but may lack the advanced features that premium plans have.

Premium plans: If you want more robust security features, you can opt for a premium plan, which will typically run you about $2 to $6 per month. Depending on the service, these may include the following:

• Cross-device synchronization
• Advanced security features like two-factor authentication
• Secure sharing options
• Encrypted storage for sensitive documents

Family and group plans: A lot of password managers offer discounted family or group plans, allowing multiple users to share a subscription, making them cost-effective for families or small businesses.

Keep in mind, though, that depending on the provider you select, there might be a few hidden costs and considerations that you might need to factor in. Some providers charge for specific features, which can increase your overall costs.

Password managers can accommodate various budgets, with free options for basic functionalities and premium plans offering advanced features at reasonable prices. The investment in a password manager should be viewed in the context of the security and convenience it provides. Given rising threats, the cost of a password manager is often a small price for enhanced online security. Whether you choose a free or premium plan, a password manager can effectively protect your digital life.

How to Use a Password Manager Effectively

Password managers are really easy to use — they take about 10 minutes or so to set up and get running. But if you really want to get the most out of them, here are a few steps to take to ensure you’re maximizing your manager’s benefits.

Choose a strong master password: Your master password is the gateway to all your stored credentials. Create a complex and unique password that combines uppercase and lowercase letters, numbers, and special characters. Avoid using easily guessable information. If you want, you can use our secure password generator for this.

Enable two-factor authentication: If your password manager provides it, you should enable 2FA for an added layer of security. This requires a second form of verification, like a code sent to your phone, making unauthorized access a heck of a lot harder.

Organize your vault: Most password managers allow you to categorize your passwords and notes. Take advantage of this feature to group related accounts, making it easier to find what you need quickly.

Regularly update passwords: If your password manager has an auditing feature, you should schedule periodic reviews of your stored passwords. Change weak or reused passwords and take advantage of the password generator feature to create strong alternatives.

Use autofill with caution: While autofill saves time, be cautious when using it on public or shared computers. Always ensure you’re on legitimate websites before allowing the manager to fill in your credentials.

Back up your data: Regularly backup your password vault according to your password manager’s guidelines. This ensures you won’t lose access if your device fails.