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How to: Fix “Computer Account Creation Failed” macOS

Kept getting "Account Creation Failed". Today's post will go over how to fix the "Computer Account Creation Failed" error in macOS. 

Fix “Computer Account Creation Failed” Error macOS 

Came across an interesting error, while trying to set up a newly imaged Macbook Air that has an M1 chip in it. While trying to do the initial account set up, kept getting “Account Creation Failed” no matter what user name or password I tried.  Today’s post will go over how to fix the “Computer Account Creation Failed” error in macOS. “Computer Account Creation Failed”

How To

Some Background On The Error 

It appears that this error has been seen since macOS 11 Big Sur, and seems to be most common on Macbooks with the M1 Chip. The error happens when you try to create the initial computer account. No matter how many user name/password combinations you try the same error appears.

Acct create error

The following instructions helped resolve the issue we encountered after a reinstallation of macOS12 Monterey.

Solution For Computer Account Creation Failed 

For starters, be advised that these steps will require you to reinstall macOS again, so give yourself some time. Unfortunately, we haven’t found a faster solution to this error.

  • Step One

Power down the Macbook, and then boot into Recovery Mode. If you have a Macbook with the M1 Chip. you can do this by pressing and holding down the power button until you see a “Loading startup options…” message. At that point, let go of the power button.

  • Step Two

On the screen that appears, Choose Options then select your language if prompted to continue.

macOS recovery mode screen choice

  • Step Three

Once you have made it to the Recovery Mode screen, Select Terminal from the Utilities menu. The menu is on the top left of the screen.

Recovery mode macos utilities options

  • Step Four 

In the Terminal window that opens, type the command ‘resetpassword’ and hit Enter. You will see some additional information come up on the screen.  For purposes of this reset that information is not required for any of the upcoming steps.

macos resetpassword

NOTE: After you do step 4, a window will appear that says Reset Password. You can disregard this window. Deactivating and activating the Mac via this Reser Password window did not resolve the issue.  Just move to step 5

macos recovery reset pwd pop up window

  • Step Five

Once step 4 completes, from the Recovery Assistant menu at the top left of your screen select Erase Mac

macos recovery erase mac

Once you do, you will see a new window in the middle of your screen. On that window, select Erase Mac to continue.

macos recovery erase mac pop up

At this point, you will get a confirmation pop-up. Select Erase Mac from the popup window to confirm.

  • Step Six

Your Macbook will now be erased and will reboot to an Activate Mac window. Once you are on this window, select your Wi-Fi network at the top right of the display and log into your wifi.

Make sure you are connected to your wifi, and then select Next to activate your Mac then once activated, click Exit to Recovery Utilities.

macos recovery activate mac exit

  • Step Seven (Final Step) 

Now Choose Reinstall macOS Monterey from the Recovery menu and go through the installation steps again.

macos recovery reinstall

Once macOS 12 Monterey is reinstalled, and you get to the create a computer account screen, things should work as expected.

Final Thought 

Hopefully, there will be an official fix released by Apple for this issue.  In the meantime, we hope these steps help resolve your issue.

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24 Yrs. of professional experience in Technology. Experience with technology implementation and systems management at numerous 5 Star Hotels, and Stadiums across North America. Head of Tech Geek and More since 2009


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