110 lines
5.4 KiB
Markdown
110 lines
5.4 KiB
Markdown
---
|
|
stage: Fulfillment
|
|
group: Subscription Management
|
|
info: To determine the technical writer assigned to the Stage/Group associated with this page, see https://handbook.gitlab.com/handbook/product/ux/technical-writing/#assignments
|
|
description: Billing examples.
|
|
title: Quarterly reconciliation and annual true-ups
|
|
---
|
|
|
|
{{< details >}}
|
|
|
|
- Tier: Premium, Ultimate
|
|
- Offering: GitLab.com, GitLab Self-Managed, GitLab Dedicated
|
|
|
|
{{< /details >}}
|
|
|
|
In accordance with [the GitLab Subscription Agreement](https://about.gitlab.com/terms/),
|
|
GitLab reviews your seat usage and sends you an invoice for any overages.
|
|
This review occurs either quarterly (quarterly reconciliation process) or annually (annual true-up process).
|
|
|
|
To learn more about how GitLab bills GitLab.com users, see [How seat usage is determined](gitlab_com/_index.md#how-seat-usage-is-determined). For GitLab Self-Managed users, see [How GitLab bills for users](self_managed/_index.md#how-gitlab-bills-for-users).
|
|
|
|
To prevent overages, you can turn on restricted access for [your group](../user/group/manage.md#turn-on-restricted-access)
|
|
or [your instance](../administration/settings/sign_up_restrictions.md#turn-on-restricted-access).
|
|
This setting restricts groups from adding new billable users when there are no seats left in the subscription.
|
|
|
|
## Quarterly reconciliation versus annual true-ups
|
|
|
|
With **quarterly reconciliation**, you are billed per quarter on a prorated basis for the remaining portion of the subscription term.
|
|
You pay for the maximum number of seats you used during the quarter.
|
|
You pay less annually, which can result in substantial savings.
|
|
|
|
With **annual true-up**, you pay the full annual subscription fee for users added at any time during the year.
|
|
|
|
If you cannot participate in quarterly reconciliation, you can opt out of the process by using a contract amendment,
|
|
and default to the annual review.
|
|
|
|
### Example
|
|
|
|
For example, in January you purchased an annual license for 100 users, where each extra seat costs $100.
|
|
Throughout the year, the number of users fluctuated between 95 and 120.
|
|
|
|
The following chart illustrates the number of users during the year, per month and quarter.
|
|
|
|
|
|
|
|
If you are billed annually:
|
|
|
|
- During the year, you went over the license by 20 users.
|
|
- For the extra seats, you pay $100 x 20 users.
|
|
- The annual total cost is $2000.
|
|
|
|
If you are billed quarterly:
|
|
|
|
- In Q1 you had 110 users. 10 users over subscription x $25 per user x 3 quarters = $750.
|
|
You now pay a license for 110 users.
|
|
- In Q2 you had 105 users. You did not go over 110 users, so you are not charged.
|
|
- In Q3 you had 120 users. 10 users over subscription x $25 per user x 1 remaining quarter = $250.
|
|
You now pay a license for 120 users.
|
|
- In Q4 you had 120 users. You did not exceed the number of users from Q3, so you are not charged.
|
|
However, even if you exceeded the number you would not be charged, because in Q4 there are no charges for exceeding the number.
|
|
- The annual total cost is $1000.
|
|
|
|
## Quarterly invoicing and payment
|
|
|
|
At the end of each subscription quarter, GitLab notifies you about overages.
|
|
The date you're notified about the overage is not the same as the date you are billed.
|
|
|
|
1. An email that communicates the [overage seat quantity](gitlab_com/_index.md#seats-owed)
|
|
and expected invoice amount is sent:
|
|
|
|
- On GitLab.com: On the reconciliation date, to group owners.
|
|
- On GitLab Self-Managed: Six days after the reconciliation date, to administrators.
|
|
|
|
1. Seven days after the email notification, the subscription is updated to include the additional seats,
|
|
and an invoice is generated for a prorated amount.
|
|
If a credit card is on file, the payment applies automatically.
|
|
Otherwise, you receive an invoice, which is subject to your payment terms.
|
|
|
|
## Quarterly reconciliation eligibility
|
|
|
|
You are automatically enrolled in quarterly reconciliation if:
|
|
|
|
- The credit card you used to purchase your subscription is still linked to your GitLab account.
|
|
- You purchased your subscription through an invoice.
|
|
|
|
You are excluded from quarterly reconciliation if you:
|
|
|
|
- Purchased your subscription from a reseller or another channel partner.
|
|
- Purchased a subscription that is not a 12-month term (includes multi-year and non-standard length subscriptions).
|
|
- Purchased your subscription with a purchasing order.
|
|
- Purchased an [Enterprise Agile Planning](manage_subscription.md#enterprise-agile-planning) product.
|
|
- Are a public sector customer.
|
|
- Have an offline environment and used a license file to activate your subscription.
|
|
- Are enrolled in a program that provides a Free tier such as the GitLab for Education,
|
|
GitLab for Open Source Program, or GitLab for Startups.
|
|
|
|
If you are excluded from quarterly reconciliation and not on a Free tier, your true-ups are reconciled annually.
|
|
Alternatively, you can reconcile any overages by [purchasing additional seats](manage_users_and_seats.md#buy-more-seats).
|
|
|
|
## Troubleshooting
|
|
|
|
### Failed payment
|
|
|
|
If your credit card is declined during the reconciliation process, you receive an email with the subject `Action required: Your GitLab subscription failed to reconcile`. To resolve this issue, you must:
|
|
|
|
1. [Update your payment information](customers_portal.md#change-your-payment-method).
|
|
1. [Set your chosen payment method as default](customers_portal.md#set-a-default-payment-method).
|
|
|
|
When the payment method is updated, reconciliation is retried automatically.
|