Billing in Arrears - Non-Prorate

Billing in Arrears - Non-Prorate

This article will explain the license increase and decrease behaviour in your PSA for arrears non-prorate billing.

License Quantity Increase

Main quantity is updated immediately to the current license count.

Example:

License increase from 12 to 13. Main quantity item is updated immediately to 13 licenses.

At the end of the month, the customer is billed for their usage of the month that’s been (billing in arrears).

On the 10th of the month, licenses are increased from 12 to 13 licenses. At the end of the month, we bill them for 13 licenses they consumed for the month.

License Quantity Decrease

Main quantity is updated end of month to the current license count.

Example:

License decrease from 12 to 11. Main quantity stays at 12, then it is updated at the end of the month to 11 licenses.

At the end of the month, the customer is billed for their usage of the month that’s been (billing in arrears).

On the 20th of the month, licenses are decreased from 12 to 11 licenses. At the end of the month, we bill them for 12 licenses. And the total number of licenses changes to 11 for the next month after.


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