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How to Add a Local User Account on Windows Server

Adding a local user account on Windows Server creates a user that can log in to that specific server using a username and password stored locally — not in Active Directory. Local accounts are useful for service accounts, emergency administrator access, or servers that are not joined to a domain. Here is how to create and manage them.

Add a Local User via Computer Management

  1. Right-click the Start button and select Computer Management
  2. Expand Local Users and Groups → Users
  3. Right-click in the empty space in the Users panel and select New User
  4. Fill in:
    • User name: the login name (no spaces, keep it short)
    • Full name: display name (optional but helpful)
    • Description: what the account is for
    • Password and Confirm password
  5. Configure the password options:
    • User must change password at next logon: tick this for accounts used by real people — forces them to set their own password
    • User cannot change password: tick for service accounts where you control the password
    • Password never expires: tick for service accounts — untick for regular users
    • Account is disabled: creates the account but prevents login until you enable it
  6. Click Create, then Close

Add a Local User via PowerShell

# Create a new local user
$password = ConvertTo-SecureString "P@ssw0rd!" -AsPlainText -Force
New-LocalUser -Name "svcbackup" -Password $password -Description "Backup service account" -PasswordNeverExpires

# Create a user who must change password at first login
New-LocalUser -Name "jsmith" -Password $password -FullName "John Smith" -Description "IT Admin"

Add the User to a Local Group

Creating a user does not give them any access — you need to add them to a group:

  • Administrators: full control of the server. Only grant this when genuinely needed.
  • Remote Desktop Users: allows RDP login without being a full administrator
  • Users: basic access — can log in locally and run applications

In Computer Management: expand Local Users and Groups → Groups, double-click the group, click Add, type the username, click OK.

Via PowerShell:

# Add user to Administrators group
Add-LocalGroupMember -Group "Administrators" -Member "svcbackup"

# Add user to Remote Desktop Users group
Add-LocalGroupMember -Group "Remote Desktop Users" -Member "jsmith"

Create a User via Command Prompt (net user)

# Create user
net user jsmith P@ssw0rd! /add

# Add to Administrators group
net localgroup Administrators jsmith /add

# Add to Remote Desktop Users
net localgroup "Remote Desktop Users" jsmith /add

# Set password never expires
wmic useraccount where "Name='jsmith'" set PasswordExpires=FALSE

List All Local Users

# PowerShell
Get-LocalUser | Select-Object Name, Enabled, LastLogon, PasswordLastSet, PasswordExpires

# Command Prompt
net user

Disable vs Delete an Account

When a user leaves or an account is no longer needed, disable it before deleting it:

# Disable
Disable-LocalUser -Name "jsmith"

# Re-enable
Enable-LocalUser -Name "jsmith"

# Delete
Remove-LocalUser -Name "jsmith"

Disabled accounts cannot log in but the account and its SID remain — useful if you need to audit what access the account had. Deletion is permanent. For the built-in Administrator account, disable it rather than delete it.

The Built-In Administrator Account

Every Windows Server has a built-in local Administrator account (SID ending in -500). Best practice is to:

  • Rename it from “Administrator” to something less predictable
  • Set a strong, unique password and store it in a password manager
  • Keep it disabled under normal operations — only enable it for emergency break-glass access
  • Create a named personal administrator account for day-to-day admin work so actions are attributable

Local Accounts vs Domain Accounts

On a domain-joined server, local accounts and domain accounts coexist. Local accounts are stored on the server itself; domain accounts are stored in Active Directory and work on any domain-joined machine. For most staff access on domain environments, use domain accounts — local accounts are better suited to service accounts and emergency access.

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