How billing works
updated 1 year ago
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Engage has 2 paid plans that include an allowed limit of active users. The Starter plan includes 5,000 active users and the Growth plan includes 15,000 active users. You subscribe to the paid plans either monthly or annually. There is also a free plan that includes 1,000 active users.
The details of the plans and prices are available on the Engage pricing page.
Monthly billing cycle
The monthly billing cycle lets you pay for your use of Engage month-on-month. When you subscribe to the monthly billing cycle, you will be immediately charged the cost of the plan. At the end of the billing cycle, you will be charged the same amount plus the cost of overages (number of active users above the allowed limit). If for example, you are subscribed to the Starter Plan at $50/month and had 6,000 active users at the end of the billing cycle, you will be charged $50 (cost of the plan) + $10 (cost of overage for the additional 1,000 active users), i.e $60.
The next billing cycle will be your subscription start date in the next month. If the date is not available in the next month, it will be the last date of the month. If for example, your subscription start date is January 31, your next billing cycle will be Feb 28 (or 29 on a leap year).
If your payment fails, billing is retried over 2 weeks. If not successful, the subscription is terminated.
Annual billing cycle
The annual billing cycle lets you pay for your use of Engage once every year, at a reduced price. It is more than 20% cheaper than the monthly billing cycle.
When you subscribe to the annual billing cycle, you will be immediately charged the cost of the plan. At the end of the billing cycle, you will be charged the same amount. Overages are charged at certain thresholds, normally once a month. More detail about this is covered in the Overages section.
The next billing cycle will be your subscription start date in the next year. If for example, your subscription start date is January 31, 2024, your next billing cycle will be January 31, 2025.
Overages
When on the paid plan, you can go above the limit of active users in your plan but you will be charged for the additional active users.
On the monthly plan, you will be charged $10 for every additional 1,000 active users at the beginning of the next billing cycle. The charge will be added in addition to the cost of the renewed plan. If you subscribe to the Starter Plan (with 5,000 active users) on January 5, you will be immediately $50 for the plan. If by February 5 (the start of the next billing cycle), you have 6,000 active users, you will be charged $50 (cost of the plan for the new billing cycle) + $10 (overage cost for the additional 1,000 active users). If by March 5 (the next billing cycle) you have 4,031 active users, you only get to pay $50 as there are no overages.
On the annual plan, you will be charged $8 for every additional 1,000 active users every month. Unlike monthly plans, the overage charge is not tied to the next billing subscription so a failed overage charge doesn't affect your subscription. This means you can have more than a month's unpaid overage invoice. It only affects your subscription when it has accumulated beyond certain thresholds. You will be notified if there have been multiple failed attempts at charging for the overages and you are close to that threshold.
Upgrades and Downgrades
Here is how upgrades and downgrades work for monthly paid plans:
If you are upgrading (Starter to Growth), the prorated amount left on the subscription will be calculated and subtracted from the price of the plan you are upgrading to. You will then be charged the balance. If for example, you started your Starter subscription on January 1 and upgraded to Growth on the 15th, the prorated amount left on your subscription is about $24. You will therefore be charged $150 (the price of the Growth plan) minus $24. Your next billing period remains February 1.
If you are downgrading (Growth to Starter), the prorated amount left on the subscription will be calculated and credited towards your next invoices.
If you are switching to an annual plan, your current usage will be prorated and a new subscription for the annual plan will be created. Your billing cycle will reset to that day.
For annual plans:
If you are upgrading (Starter to Growth), the prorated amount left on the subscription will be calculated and subtracted from the price of the plan you are upgrading to. You will then be charged the balance.
If you are downgrading (Growth to Starter), the prorated amount left on the subscription will be calculated and credited towards your next invoices.
If you are switching to a monthly plan, your current usage will be prorated and credited towards your monthly plan. A new subscription will be created and your billing cycle will reset to that day.
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