What happens if a license is increased and decreased within the same month?

Scenario:

  • At the start of the month customer is billed for 15 licenses for their expected usage of the month to come (billing in advance)
  • On the 10th, this is increased to 16 licenses.
  • On the 20th, this is decreased to 15 licenses.

Depending on your PSA and Prorate settings, there are 3 different outcomes:

Prorate Disabled

Increasing the licenses to 16 will update the license total in your PSA to 16.

If you then decrease it to 15, your PSA total will stay at 16 until the end of the month.

The count on your PSA is the highest number of licenses active at any given time throughout the month. This means at the start of the following month this count will decrease back to 15.

Prorate Enabled (ConnectWise)

Increasing the licenses to 16 will update the license total in your PSA to 16.

Additionally, we will prorate 1 addition to the agreement for the license when it is increased to 16

If this license is then decreased to 15, the Total addition will remain at 16 until the start of the following month and the Prorate addition will remain as active until the end of the month.

Similar to prorate disabled, the count on your PSA is the highest number of licenses active at any given time throughout the month. This means at the end of the month this count will decrease back to 15 and the prorate addition will reach it's cancelled on date.

Prorate Enabled (Autotask)

Increasing the licenses to 16 will update the license total in your PSA to 16.

Additionally, Autotask will calculate and prorate 1 license to the recurring service when it is increased to 16.

If this is reduced to 15, the total within Autotask will remain as 16 until the end of the month. However, Autotask will create a new prorated item for the reduction.

Similar to prorate disabled, the count on your PSA is the highest number of licenses active at any given time throughout the month. This means at the end of the month this count will decrease back to 15 and the prorate addition will reach it's cancelled on date.


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