Proxmox VE is a free, open-source platform that turns one computer into a host for virtual machines and lightweight Linux containers, all managed from a web browser. Version 9.2, released in May 2026, is current. For a home server it is the most flexible base: Home Assistant, Jellyfin, Pi-hole and even a Windows VM can share one quiet mini PC.
This guide is for people who have outgrown a Raspberry Pi or a single-purpose box and want one machine to do several jobs. If you are still choosing hardware, start with our home server guide, then come back here to plan and install Proxmox.
Key takeaways
- Proxmox VE is free with every feature included. Subscriptions, from €120 per CPU socket a year, buy the enterprise update repository and support, not extra features.
- Proxmox VE 9.2 runs on Debian 13. Version 8 stopped receiving security updates on 31 August 2026, so upgrade any older install.
- Use LXC containers for light Linux services and full VMs for Home Assistant OS, Windows or anything that needs its own kernel.
- Plan RAM before you buy: 2 GB for Proxmox itself, about 1 GB per TB of ZFS storage, plus whatever your guests need.
- The community helper scripts save hours, but they run as root on your host. Read them before you paste them.
In this guide
What is Proxmox VE?
Proxmox Virtual Environment is a Debian-based operating system from Proxmox Server Solutions in Vienna, released under the open-source AGPLv3 licence. It combines KVM and QEMU for full virtual machines, LXC for containers, ZFS and Ceph for storage, built-in backups and clustering, and a web interface on port 8006 that handles all of it.
Version 9.2 arrived on 21 May 2026, built on Debian 13.5 with the Linux 7.0 kernel, QEMU 11.0, LXC 7.0 and ZFS 2.4. It also added a dynamic load balancer for clusters, which matters little at home but shows how actively the platform is developed.
VMs vs LXC containers in Proxmox
| Feature | KVM virtual machine | LXC container |
|---|---|---|
| Kernel | Its own, fully isolated | Shares the Proxmox host kernel |
| Overhead | Higher: RAM is reserved per VM | Very low: uses only what the apps need |
| Runs | Any OS, including Windows and Home Assistant OS | Linux only |
| Isolation | Strong | Good, weaker than a VM |
| Best for | Home Assistant OS, Windows, Docker hosts, firewalls | Pi-hole, Jellyfin, Nextcloud, small web apps |
A useful rule: if it is a Linux service with an install guide, such as the self-hosted business apps many offices run, try an unprivileged LXC container first. If it is a whole operating system, needs its own kernel modules or you want the strongest separation, use a VM.
Proxmox Hardware Requirements
Proxmox’s official requirements are modest: a 64-bit Intel or AMD processor with VT-x or AMD-V virtualisation enabled, and 2 GB of RAM for Proxmox itself plus the memory your guests use. For ZFS or Ceph, Proxmox suggests roughly 1 GB of extra RAM per terabyte of storage. PCIe passthrough, such as giving a VM a whole graphics card, needs VT-d or AMD-Vi as well. Fast SSDs make the biggest difference to how responsive VMs feel.
For a home server in NZ, three kinds of hardware work well:
- Intel N150 mini PCs (roughly NZ$750–$900 in September 2026): quiet, frugal and fine for a handful of containers and one or two VMs, but limited to 16 GB of RAM.
- Ryzen or Core i5 mini PCs (roughly NZ$1,040–$1,600): most take 32 GB of RAM or more, enough for a Windows VM alongside everything else.
- Ex-lease business desktops: more drive bays and upgrade room, at the cost of higher idle power.
Use the planner to size RAM, CPU and SSD for the services you want.
Proxmox VM and container planner
Tick the services you want to run. The planner adds up RAM, virtual CPUs and disk, allows for Proxmox itself and ZFS, and suggests hardware.
Sizes use official minimums where they exist (Home Assistant OS 2 GB, Immich 6 GB, Windows 11 64 GB disk) and conservative estimates elsewhere; media, photos and backups are assumed to live on a NAS or separate drives. Proxmox itself gets 2 GB, plus about 1 GB per TB for ZFS, as Proxmox recommends.
Pick SSDs with decent endurance
ZFS writes more than a simple ext4 install. For the drives that hold your VMs, avoid the cheapest QLC SSDs and check the endurance (TBW) rating, or use a mirrored pair so one worn-out drive does not take the host down.
Proxmox Install: Step by Step
- Enable virtualisation (Intel VT-x or AMD-V, plus VT-d or AMD-Vi if you plan passthrough) in the computer’s UEFI settings.
- Download the Proxmox VE 9.2 ISO from proxmox.com and write it to a USB stick with a tool such as balenaEtcher.
- Boot the installer and choose the disk layout. ext4 with LVM-thin suits a single SSD; ZFS RAID1 suits two matching SSDs.
- Set location details. Choose New Zealand, the Pacific/Auckland time zone and your keyboard layout.
- Set the root password, an email address and a fixed IP address, with your router as the gateway.
- Reboot and log in from another computer at your server’s address on port 8006, using the root account.
- Switch repositories. Without a subscription, open Updates, then Repositories, disable the enterprise repositories and add the No-Subscription one, then run the updates.
The “no valid subscription” pop-up at login is normal and harmless, and the no-subscription repository is the usual choice for home use.
Proxmox Helper Scripts: Time-Saver or Risk?
The Proxmox VE Helper-Scripts project, now at community-scripts.org, offers one-line commands that create a ready-to-use LXC container or VM for hundreds of apps, from Home Assistant to Jellyfin. It was started by a developer known as tteck and has been maintained by a team of community volunteers since his death. The current scripts support Proxmox VE 8.4 to 9.2.
They are genuinely handy, and the maintainers publish a security policy, but every script runs as root on your host and pulls code from the internet. Read what a script does before you run it, take a backup first, and for anything critical, such as your firewall or password manager, consider the project’s official install method instead.
Proxmox Backup Server and Backups That Actually Work
Proxmox has scheduled backups built in: you can back up every VM and container nightly to a local disk or a NAS share over NFS or SMB, with retention rules such as seven daily and four weekly copies. That alone beats most home setups.
Proxmox Backup Server goes further. Version 4.2, released in April 2026, stores backups incrementally with deduplication and client-side encryption, so nightly backups of large VMs take a fraction of the time after the first full run, and it can also push to S3-compatible object storage. Run it on separate hardware, such as an old PC with a big drive, so a dead host does not take the backups with it, and keep an off-site copy of anything you cannot replace. Our NAS storage guide covers a sensible backup target.
Proxmox vs ESXi and Other Options
After Broadcom bought VMware it ended the free ESXi hypervisor in 2024, then brought back a free edition with ESXi 8.0 Update 3e in April 2025. Broadcom’s own notes list the limits: no vCenter, no vMotion or HA, no backup APIs, a maximum of two physical CPUs and 8 vCPUs per VM, and no official support.
| Feature | Proxmox VE | VMware ESXi (free edition) | Unraid |
|---|---|---|---|
| Cost | Free, optional subscription | Free, Broadcom account needed | US$49–$249 |
| Containers | LXC built in | None | Docker built in |
| Backups | Built in, plus Proxmox Backup Server | No backup API for third-party tools | Plugins |
| Storage | ZFS, LVM, Ceph | VMFS | Parity array, ZFS |
| Best for | Mixed VMs and containers | Learning VMware for work | Media servers with mixed drives |
For a home server, Proxmox is the clear pick unless you specifically need VMware skills for your job.
Running Proxmox as a Home Server in NZ
A Proxmox host on an N150 mini PC typically idles somewhere around 6–12 W (our estimate), which works out at roughly NZ$20–$40 a year at 35c/kWh. A few NZ-specific habits help:
- Put it on a small UPS and install Network UPS Tools so the host shuts down cleanly during outages.
- Never expose port 8006 to the internet. Run Tailscale in a container for remote access, which also works on Starlink and other connections behind carrier-grade NAT; our VPN explainer covers the basics.
- Keep bulk data on a NAS and mount it into containers, so the Proxmox host stays small and easy to rebuild.
Popular first projects are a Home Assistant OS VM (or a dedicated Home Assistant Green if you prefer an appliance), Jellyfin in a container with the Intel graphics passed through (see Jellyfin vs Plex if you are undecided), and a Linux desktop VM such as Linux Mint for experiments.
Common Proxmox Mistakes
- Giving guests every gigabyte of RAM. ZFS and the host need memory too; overcommitting leads to guests being killed when memory runs out.
- Leaving the enterprise repository enabled without a subscription, which makes every update check throw errors.
- Skipping the upgrade checklist. Before a major upgrade, read the official guide and run its checker script (pve8to9 for version 8 to 9).
- Never testing a restore. Restore a backup to a new VM ID once in a while to prove it works.
- Exposing the web interface. Use a VPN, not port forwarding.
Our Verdict on Proxmox VE
Our take
- Proxmox VE is the best free base for a home server that runs more than one thing.
- Start with an N150 mini PC with 16 GB of RAM, or a Ryzen or Core i5 box with 32 GB if you want a Windows VM.
- Use containers for Linux services and VMs for Home Assistant OS and Windows.
- Set up scheduled backups to another machine before you migrate anything important.
Software versions, subscription prices and hardware prices change. Details were checked in September 2026; hardware prices are in NZ$ incl. GST and power draw figures marked as estimates vary with hardware. Nicegear is independent and has no paid placements.
Sources and further reading
- Proxmox VE system requirements – Proxmox
- Proxmox VE subscription pricing – Proxmox
- Proxmox Virtual Environment 9.2 release announcement – Proxmox forum
- Proxmox Backup Server 4.2 released – Proxmox
- Proxmox VE Helper-Scripts – community-scripts.org
- ESXi 8.0 Update 3e free hypervisor – Broadcom Knowledge Base
- Alternative installation methods – Home Assistant
- Proxmox Virtual Environment – Wikipedia
FAQs
Is Proxmox VE free?
Yes. Proxmox VE is open source under the AGPLv3 licence and every feature works without paying. Optional subscriptions, from €120 to €1,100 per CPU socket a year, add the enterprise repository and technical support.
What is the latest version of Proxmox VE?
Proxmox VE 9.2, released on 21 May 2026, is the current version. It is based on Debian 13.5 with the Linux 7.0 kernel, and version 8 reached end of security support on 31 August 2026.
How much RAM does Proxmox need for a home server?
Proxmox needs 2 GB for itself, about 1 GB per TB of ZFS storage, and whatever your VMs and containers use. For a typical home server, 16 GB is comfortable; add a Windows VM and 32 GB is the sensible size.
Should I use a VM or an LXC container in Proxmox?
Use an LXC container for Linux services such as Pi-hole, Jellyfin or Nextcloud, because it uses far less RAM. Use a VM for Home Assistant OS, Windows, or anything that needs its own kernel or stronger isolation.
Is Proxmox better than ESXi for a home lab?
For most home labs, yes. Proxmox is free with every feature, while the free ESXi edition is limited to 8 vCPUs per VM, has no backup APIs for third-party tools and comes with no official support.
Are Proxmox helper scripts safe to use?
They are widely used and maintained by an active community team, but each script runs as root and downloads code from the internet. Read a script before running it and back up your host first.
Can Proxmox run on a Raspberry Pi?
Not officially. Proxmox supports 64-bit Intel and AMD processors, and 64-bit Arm only on Armv9-A or newer chips, which rules out current Raspberry Pi boards.
