Understanding an Subscription Billing Cycle

Where the amount debited from your subscription comes from

An incorrect amount almost always comes from the billing cycle, rarely from a bug. The key is to understand this cycle.

The billing cycle

The debit date generally follows the subscription date, renewed monthly or annually. A monthly plan bills in advance: the first and last debits are therefore the most surprising, one partial, the other sometimes still debited after a late cancellation.

Pro-rata after a change

Upgrading your plan in the middle of the month triggers a pro-rata adjustment for the remaining days, detailed in your subscription area. This results in an intermediate amount, neither the old nor the new rate, which is not an error.

Displayed price and VAT

The price of a consumer subscription is generally displayed inclusive of all taxes. On the invoice, the details separate the amount excluding taxes and the VAT, which is useful if you reclaim the expense or keep accounts. A discrepancy between the advertised price and the debited amount is often explained here, not elsewhere.

Where to find your invoices

Invoice Line What it says To check
Invoice date Start of period Locate the debit
Amount ex. VAT and VAT Price details Verify the advertised rate
Period covered Service dates Identify a duplicate
Payment method Card used Anticipate an expiry

Comparing two debits

When faced with two different amounts, align the periods covered rather than just the debit dates. A month spanning a price change, a promotion ending, a pro-rata: a line-by-line comparison shows where the difference comes from.

When an amount is off

Compare the debit with the plan rate and the billed period. Nine times out of ten, the difference is due to a pro-rata adjustment, a promotion ending, or an announced increase. If nothing explains it, the downloaded invoice is the document to present to customer service.

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