I recently purchased a Office 365 Subscription to use at home and it is considered a cost effective way to have the latest Office products and be able to install on multiple PCs, Macs, or Mobile Devices for a low monthly/yearly subscription. Now with a Windows Machine it was easy to install and activate the Office Application. But when I installed MS Office 2011 on my Mac and tried to activate with my Office 365 Subscription, the process would fail saying that Username/Password was invalid. The following is a way to fix this issue if you are sure that you have no issues with your Microsoft Account Credentials.
This issue seems to affect Microsoft Accounts that use 2 Factor Authentication. Because the Mac MS Office 2011 does not recognize this, the authentication with the Username/Password fails. You will need to do the following.
1) Access your Microsoft Account and go to “Account Settings”
2) Go to the “Security & Password” section
3) Look for App passwords and click on “Create a new app password”
4) A random password will be created and use that password with your Microsoft Account to activate your Mac MS Office 2011 installation.
That is it! A very simple fix. 🙂