How to Set Up a DHCP Server on Windows Server

Setting up a Windows Server DHCP server takes three stages: install the DHCP Server role, authorise the server in Active Directory if it belongs to a domain, then create and activate an IPv4 scope with a router and DNS options. On a supported server with a static IP address, the whole job takes about 20 minutes through Server Manager or a handful of PowerShell commands.

DHCP (Dynamic Host Configuration Protocol) is the service that hands out IP addresses, gateway and DNS details to every PC, printer and mobile device that joins your network. This guide covers both the graphical method and PowerShell, using the steps Microsoft documents for Windows Server 2016 through 2025.

What Do You Need Before Installing DHCP?

You need a supported Windows Server, a static IPv4 address on that server, a planned address range and an administrator account. Microsoft's DHCP Server quickstart on Microsoft Learn applies to Windows Server 2025, 2022, 2019 and 2016.

The last row catches many small offices. Most broadband routers run their own DHCP service by default. If you leave it on and add a Windows Server DHCP server on the same subnet, clients take whichever answer arrives first, and you get duplicate addresses or wrong DNS settings.

How Do I Install the Windows Server DHCP Server Role?

Use the Add Roles and Features wizard in Server Manager, or one PowerShell command. Installing through Server Manager also installs the DHCP management console on servers with Desktop Experience.

1. Open Server Manager and select Manage → Add Roles and Features.
2. Select Role-based or feature-based installation and choose the local server.
3. On Server Roles, tick DHCP Server and select Add Features when asked to include the management tools.
4. Select Next through the remaining pages, then Install.
5. When installation finishes, select the notification flag in Server Manager and choose Complete DHCP configuration.
6. In the post-install wizard, select Next, choose the credentials to use for authorisation, and select Commit.

The post-install wizard creates two local security groups, DHCP Administrators and DHCP Users, and authorises the server if it is domain-joined. Microsoft notes that the role install does not need a restart.

To do the same in PowerShell, open an elevated session and run:

Install-WindowsFeature DHCP -IncludeManagementTools

Add-DhcpServerSecurityGroup -ComputerName DHCP1

The second command creates the two security groups, which a PowerShell install does not do on its own. Replace DHCP1 with your server name.

Why Does a DHCP Server Need Authorising in Active Directory?

In a domain, an unauthorised Windows DHCP server will not lease any addresses. Authorisation is a safety check that stops a rogue or test server from handing out wrong settings to every client on the network.

The cause and effect is direct: if you skip authorisation in a domain, the service starts but clients receive no addresses. If the server sits in a workgroup with no Active Directory, skip this step entirely. Authorisation is stored in Active Directory, so it relates to the same directory roles covered in our guide to FSMO roles.

1. Open Server Manager → Tools → DHCP.
2. Right-click the server name and select Authorize.
3. Press F5 to refresh. The IPv4 and IPv6 icons change to show the server is authorised.

In PowerShell, use Add-DhcpServerInDC -DnsName DHCP1.corp.example.com -IPAddress 10.0.0.3, then check with Get-DhcpServerInDC.

How Do I Create a DHCP Scope?

A scope is the range of addresses the server can lease on one subnet, plus the settings sent with each lease. Create it with the New Scope Wizard in the DHCP console.

1. In the DHCP console, expand the server, right-click IPv4 and select New Scope.
2. Enter a scope name, for example Office LAN, and an optional description.
3. Enter the Start IP address, End IP address and subnet mask, for example 192.168.10.100 to 192.168.10.200 with 255.255.255.0.
4. On Add Exclusions and Delay, exclude any addresses inside the range that are already used by fixed devices.
5. Set the Lease Duration. The default is 8 days, which suits most offices; shorter leases suit busy guest networks.
6. Choose Yes, I want to configure these options now.
7. On Router (Default Gateway), add your gateway address.
8. On Domain Name and DNS Servers, enter your domain name and DNS server addresses. In a domain, point clients at your domain controllers' DNS service.
9. Skip the WINS page unless you still use WINS.
10. Choose Yes, I want to activate this scope now and select Finish.

The PowerShell equivalent creates the scope and sets the two key options:

Add-DhcpServerv4Scope -Name "Office LAN" -StartRange 192.168.10.100 -EndRange 192.168.10.200 -SubnetMask 255.255.255.0

Set-DhcpServerv4OptionValue -ScopeId 192.168.10.0 -Router 192.168.10.1 -DnsServer 192.168.10.10

A scope created this way is active by default with an 8-day lease, according to the Add-DhcpServerv4Scope reference. Wrong DNS options are one of the most common causes of slow name resolution on client PCs, which our guide to fixing slow DNS lookups on Windows explains in more detail.

How Do I Add Reservations and Exclusions?

A reservation gives one device the same IP address every time; an exclusion stops the server leasing specific addresses at all. Use reservations for printers and network storage, and exclusions for devices configured with a manual IP.

1. In the DHCP console, expand your scope.
2. Right-click Reservations and select New Reservation.
3. Enter a name, the IP address and the device's MAC address, then select Add.
4. For exclusions, right-click Address Pool, select New Exclusion Range and enter the start and end addresses.

In PowerShell, use Add-DhcpServerv4Reservation with -ScopeId, -IPAddress and -ClientId (the MAC address), and Add-DhcpServerv4ExclusionRange with -StartRange and -EndRange.

How Do I Check That Clients Are Getting Addresses?

Open Address Leases under the scope in the DHCP console; every device that has received an address appears there with its name and lease expiry. If the list stays empty, test from a client.

1. On a client PC, open Command Prompt.
2. Run ipconfig /release and then ipconfig /renew.
3. Run ipconfig /all and confirm the DHCP Server line shows your Windows Server's address.
4. If the client shows a 169.254.x.x address, it received no answer. Check authorisation, scope activation, the server firewall and whether the client is on the same subnet or VLAN.

Clients on a different subnet need a DHCP relay agent (often called an IP helper) on the router between them and the server, because DHCP requests are broadcasts that routers do not forward by default.

A Common Mistake We See

The setup problem we hear about most is a new server that installs and authorises cleanly but leases nothing, because the router's own DHCP service is still running and answering first. The second is a scope that covers addresses already fixed on printers or switches, which leads to intermittent conflicts weeks later.

Plan the address layout before you open the wizard: decide which block is fixed, which is leased, and which device is the only DHCP server on the subnet. If you are building a new server for this role, a Windows Server 2025 Standard licence covers DHCP, DNS and Active Directory on the same machine, and our Windows Server 2022 Standard install guide walks through getting the operating system itself in place.

Frequently Asked Questions

Does Windows Server DHCP need Active Directory?

No. A Windows Server DHCP server works in a workgroup without Active Directory. Authorisation only applies in a domain, where an unauthorised DHCP server will not lease addresses. In a workgroup you install the role, create the security groups, build the scope and activate it, skipping the authorisation step.

Can I install DHCP on a domain controller?

Yes, many small networks run DHCP and DNS on the domain controller. Microsoft supports it, but it gives one machine several critical jobs. If that server fails, clients lose both name resolution and new leases, so larger networks often place DHCP on a separate server or use DHCP failover between two servers.

What is the default DHCP lease time on Windows Server?

The default lease duration for a new IPv4 scope is 8 days, both in the New Scope Wizard and in the Add-DhcpServerv4Scope PowerShell cmdlet. Shorter leases, such as a few hours, suit guest or Wi-Fi networks where devices come and go. Longer leases reduce renewal traffic on stable office networks.

Which Windows Server versions support the DHCP Server role?

Microsoft's current DHCP quickstart applies to Windows Server 2025, 2022, 2019 and 2016. The role is available in both Standard and Datacenter editions, and it can be managed with the DHCP console, Windows Admin Center or the DhcpServer PowerShell module on each of these versions.

Why are clients getting a 169.254 address instead of a DHCP address?

A 169.254.x.x address means the client asked for an address and got no reply. Check that the server is authorised, the scope is activated, the client is on the same subnet or behind a relay agent, and that no firewall is blocking DHCP traffic on the server's network adapter.

Can two Windows servers share DHCP for redundancy?

Yes. Windows Server includes DHCP failover, which lets two DHCP servers share lease information for the same scope. You can run them in load balance mode, where both answer clients, or hot standby mode, where one takes over if the other fails. Set it up by right-clicking a scope and selecting Configure Failover.

Conclusion

A Windows Server DHCP server is quick to set up once the network plan is clear: install the role, authorise it in Active Directory, then create and activate a scope with the right router and DNS options. Turn off any other DHCP service on the same subnet before you go live. For a licence to run it on, browse our Windows Server collection.

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