Password Security Policy Template

This template sets clear, enforceable password and authentication standards without relying on outdated advice like forced frequent password rotation.

Format: Ready to copy into your own documentCustomize: Replace bracketed placeholders with your organization’s details

1. Purpose

This policy establishes minimum requirements for creating and managing passwords used to access [Organization Name] systems.

2. Password Requirements

  • Minimum length: [12+ characters recommended]
  • Passwords must not be reused across [Organization Name] systems and personal accounts
  • Passwords must not appear on known breached-password lists (checked automatically where supported)

3. Multi-Factor Authentication

MFA is required for all accounts with access to [email, VPN, cloud systems, administrative tools] and is the primary control this policy relies on, rather than frequent forced password changes.

4. Password Managers

Employees are required to use [approved password manager] to generate and store unique passwords for work accounts.

5. Shared Accounts

Shared or generic accounts are prohibited except where explicitly approved by [approver] for a documented operational reason.

6. Compromise Response

Any suspected password compromise must be reported immediately to [security contact], and affected passwords must be changed immediately.

7. Password Changes

Passwords are changed upon suspected compromise, not on a fixed rotation schedule, consistent with current NIST guidance that frequent mandatory rotation often leads to weaker password choices.

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