Password Best Practices: 12 Do’s and Don’ts Every Business Should Know

In today’s digital-first business world, passwords are unavoidable. They remain the most common way to protect access to accounts, systems, and sensitive data. But despite their importance, many people still make careless mistakes that compromise security.

Following proven password best practices is one of the simplest and most effective steps businesses can take to improve cybersecurity. Weak or reused passwords are among the most common causes of breaches worldwide, and attackers are constantly refining their tactics.

In this article, we’ll explore six common password “DON’Ts” you should avoid, along with six essential “DO’s” that strengthen your defences.

Why Password Best Practices Matter

Passwords act as the first line of defence for almost every digital asset in your organisation. From email accounts to financial systems, they protect the gateways cybercriminals want to exploit.

Poor password habits put your business at risk of:

Data breaches that expose sensitive customer or company information.
Financial losses from fraud, fines, or ransom payments.
Compliance issues if your industry requires stronger authentication.
Reputational damage that erodes customer trust.

By educating employees and enforcing password best practices, businesses can reduce their exposure to these risks.

6 Password “DON’Ts” to Avoid

1. Don’t write passwords on sticky notes

It might feel convenient, but leaving passwords written down exposes them to anyone who walks past. Local theft is just as damaging as online compromise.

2. Don’t save passwords in your browser

Browsers are notoriously poor at protecting sensitive information. Malware, browser extensions, or software vulnerabilities can easily expose saved passwords.

3. Don’t use predictable iterations

Changing PowerWalker1 to PowerWalker2 may feel like a smart update, but hackers use automated tools to detect these patterns instantly.

4. Don’t reuse the same password across accounts

Using one password everywhere gives attackers a free pass. If one account is breached, all your accounts could be at risk.

5. Don’t just capitalise the first letter

Many users capitalise the first character to meet requirements. Hackers know this pattern and exploit it when guessing passwords.

6. Don’t always use “!” at the end

Symbols are important, but placing “!” at the end of your password is predictable. Position symbols in the middle for better security.

6 Password “DO’s” to Strengthen Security

1. Create long, phrase-based passwords

Longer passwords are stronger. Use memorable phrases with substitutions, such as h0ney1$hrunkth3k!d$. These are harder to crack than short, simple words.

2. Change critical passwords every three months

Passwords that protect sensitive systems should be updated quarterly. This limits the window of opportunity if a password is stolen.

3. Change less critical passwords every six months

Lower-risk accounts should still be rotated. Regular updates protect against unnoticed compromises.

4. Use multifactor authentication (MFA)

Adding MFA means attackers need more than just a password. Even if a password is stolen, a second factor (like a phone code) blocks unauthorised access.

5. Always use more than eight characters

The longer, the better. Combine uppercase, lowercase, numbers, and symbols to create complexity. Avoid dictionary words that are easy to guess.

6. Use a password manager

A password manager reduces the burden of remembering dozens of unique passwords. It securely stores them and can generate strong, randomised options.

How Businesses Can Enforce Password Best Practices

While individual users are responsible for their own credentials, businesses play a critical role in setting standards and enforcing policies. Best practices include:

Creating a password policy that outlines length, complexity, and update frequency.
Implementing MFA across all critical applications.
Using endpoint management tools to block weak passwords.
Running security awareness training to teach employees about risks.
Auditing password compliance during risk assessments.

The Link Between Passwords and Overall Cybersecurity

Password best practices don’t exist in isolation. They are part of a larger defence-in-depth strategy that includes backups, access controls, endpoint protection, and monitoring. Weak credentials are often the first step in a larger attack — for example, phishing emails that harvest passwords can lead to ransomware.

By treating password protection as a foundation rather than an afterthought, organisations strengthen their resilience across the board.

Partner With Us for Better Password Security

Strong passwords save businesses from costly mistakes. But best practices require consistency, tools, and training. If your business needs help rolling out password managers, MFA, or staff training, we’re here to help.

Contact us today for a no-obligation consultation and take the first step toward better cybersecurity and connect with us on LinkedIn to stay updated with more insights.

Frequently Asked Questions About Password Best Practices

1. What are password best practices for businesses?
Best practices include creating long, complex passwords, avoiding reuse, changing them regularly, and using MFA and password managers.

2. How long should a strong password be?
Passwords should be at least 12 characters long, with a mix of numbers, symbols, and letters. The longer and more random, the better.

3. Are password managers safe?
Yes. Reputable password managers use encryption to protect stored credentials. They are far safer than writing passwords down or saving them in browsers.

4. How often should I change my passwords?
Critical account passwords should be updated every three months, and less critical ones every six months. MFA adds extra protection in between.

5. Why isn’t antivirus software enough?
Antivirus can’t protect against weak or reused passwords. Strong password practices are essential for preventing unauthorised access.

6. What’s the biggest mistake with passwords?
The most common mistake is reusing the same password across multiple accounts. Once compromised, attackers can access everything tied to that password.

12 Password Best Practices