CSP Billing

License-based billing - Pre-paid (Billed in Advance) 

Applicable to: 

  • Office 365 
  • CRM Online 
  • EMS and other user based licensing 

 

Up to one free month incentive 

  • You are not billed for any charges during the initial period from the subscription start date to the date of your next consolidate bill (up to one full month), regardless of the seat count. 
  • This results in simpler billing reconciliation. 
  • All subscriptions auto-renew for a new 12 month period with 12 monthly advanced charges if the subscription is not cancelled in line with the appropriate agreements. 
  • The free period does not apply to usage-based services (Azure). 

Billing rules 

  • Subscriptions are annual and auto-renewed. 
  • Billing is in 12 monthly payments per annual subscription. 
  • You are billed in advance for the next billing period for license-based services (based on seats at the end of prior billing period) 
  • You are billed/credited in arrears for any seat changes (pro-rata calculation based on seat-days). Pro-rata calculation uses the following formula: [ROUND((ROUND(Unit Price * Quantity / Number of days in pro-rated Month, 2) * Number of pro-rated days) / Quantity, 2) * Quantity] 
  • Payments are billed for seats sold (not seats provisioned). 

Adjustments/Credits/Cancellations 

  • Early termination fees are currently not charged for the cancellation of license-based services. 
  • Cancellation credits for licensed based services are pro-rated for unused days for mid-cycle cancellations (as well as seat decreases per the formula above). 

  

Usage-based billing - Post-paid (Billed in arrears) 

Applicable to: 

  • Azure 

 

Usage-based billing 

  • Azure operates in the "pay as you go" model, in which you are only billed for Azure services used. 
  • Azure usage charges start from the subscription start date and consist of charges for data consumed. 
  • There is no “free period” for usage-based billing. 

Billing rules 

  • Subscriptions are month-to-month and auto-renewed. Billing is monthly in arrears. 
  • Billing is based on usage. 
  • Metered service rates can change at any day within the invoice cycle. 
  • Existing subscriptions will be billed at the rate in effect at the beginning of the current invoice cycle. 
  • New subscriptions purchased during an invoice cycle will be billed at the rate in effect at the purchase date. 
  • Rate changes will apply to all subscriptions in future invoice cycles. 
  • One consolidated invoice is provided for all subscriptions. 
  • You are billed in arrears for the previous billing period (based on usage at the end of the prior billing period). 
  • You are billed in arrears for service changes (i.e. usage on any new service started during the month). 

Adjustments/Credits/Cancellations 

  • You'll see payments with adjustments on your next monthly billing invoice. 
  • Early termination fees are currently not charged for the cancellation of usage-based services. 
  • You'll see credits of any type, including SLA credits, on your next monthly billing invoice. 

 

Important dates: 

  

15th of the month 

Billing cut-off date 

(This is the date when Microsoft issues an invoice for the tenant based on the subscriptions/ no. of licenses active on that day; in advance for period 15th.CurrentMonth – 14th.NextMonth) 

  

20th of the month 

Partner invoice 

(rhipe will send our partners their invoice between 15th and no later than 20th of the month) 

  

Last working day of the month 

Direct Debit Date 

(rhipe will direct debit the partner for the owing amount on the last working day of the month.)