Billing for Usage and Commit Plus Overage Charges
The Charge Commit On Usage line-level preference gives you an alternative way to bill commit plus overage amounts for usage services and commit plus overage services. Set this preference when you don't want to charge the entire commitment quantity or the full minimum amount upfront on the first usage record.
To set this preference, on the line, in the Charge Commit On Usage column, click to check the box.
For usage services:
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Set this preference to charge the unused portion of the price plan header minimum amount at the end of the pricing period.
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Otherwise, the full amount will be charged on first usage.
At least one usage is required to bill the minimum amount of a usage line.
For commit plus overage services:
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Set this preference to charge the commitment quantity at the end of the pricing period when the billing mode is in arrears.
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The system immediately bills the usage inserted for the commitment quantity based on the billing account invoice frequency.
Example:
On the price plan header, you set a minimum $1000 USD on a usage service, priced annually and billed monthly. On the subscription line, you set a line type of Commit Plus Overage and check the box in the Charge Commit On Usage column. At the end of the year, a total usage of $600 has been billed. You can now bill for the unused $400.