"Windows Password Recovery Tool is a program that works instantly to reset or recover any lost or forgotten password. Simply boot your PC from the supplied Boot CD or a USB flash drive, and get access to forgotten Windows and administrator passwords in a matter of moments. Windows Password Recovery Tool recovers your lost password fast and efficiently. The most powerful feature Windows Password Recovery Tool have is to support Syskey. Even thouth the system registry is proctected by Syskey, Windows Password Recovery Tool can easily bypass this mechanism and reset the Windows password."
Crazy, stupid bug in Windows 8. Make sure you have internet access. If you are not able to restore internet access you may need to refresh or reset your windows installation. After you have access again you should create second local account that is not linked to a Microsoft account.