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With usage-based billing, you pay monthly for the number of {% data variables.product.prodname_enterprise %} and {% data variables.product.prodname_GH_cs_and_sp %} licenses you use. You do not need to buy a predefined number of licenses in advance.
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Usage-based billing means you pay each month for the number of licenses actually consumed in your enterprise account, instead of committing to a fixed number in advance. This model provides flexibility and can be more cost-efficient than traditional volume licensing.
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Usage-based billing for licenses provides flexibility and cost savings compared to more traditional licensing models, such as volume or subscription models.
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{% ifversion enhanced-billing-platform %}
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For how billing cycles work and how mid-cycle changes (such as adding or removing seats) affect charges, see [AUTOTITLE](/billing/concepts/billing-cycles) and [AUTOTITLE](/billing/concepts/impact-of-plan-changes).
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contentType: concepts
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---
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## Upgrades and downgrades
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## How plan changes affect billing
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When you upgrade the subscription for your personal account or organization, changes are applied immediately. When you downgrade your subscription, changes are applied at the end of your current billing cycle.
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When you change your paid plan, the impact on billing depends on the type of change:
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{% data reusables.accounts.accounts-billed-separately %}
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Making a change to your paid personal account, organization, or enterprise account does not affect billing for use of {% data variables.product.github %} features, such as {% data variables.product.prodname_copilot_short %} or paid apps purchased in {% data variables.product.prodname_marketplace %}.
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For more information, see [AUTOTITLE](/get-started/learning-about-github/githubs-plans) and [AUTOTITLE](/billing/using-the-billing-platform/about-billing-on-github).
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| Scenario | When is billing affected? | Is proration applied? | When does access change? |
| Remove paid seats/licenses | Next billing cycle | No | End of current cycle (unless access revoked) |
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## Examples of plan changes
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Key takeaways:
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*[Example of canceling a paid subscription for a personal account or organization](#example-of-canceling-a-paid-subscription-for-a-personal-account-or-organization)
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*[Example of changing from a yearly to a monthly subscription for a personal account or organization](#example-of-changing-from-a-yearly-to-a-monthly-subscription-for-a-personal-account-or-organization)
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*[Example of adding paid seats to your organization](#example-of-adding-paid-seats-to-your-organization)
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*[Example of removing paid seats from your organization](#example-of-removing-paid-seats-from-your-organization)
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*Upgrades are billed and applied immediately.
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*Downgrades and cancellations take effect only after the current billing cycle ends.
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*Adding seats is prorated and grants immediate access.
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*Removing seats takes effect in the next cycle, unless access is manually revoked.
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### Example of canceling a paid subscription for a personal account or organization
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Kumiko pays for a monthly subscription on the 5th of every month. If Kumiko downgrades from the paid subscription to {% data variables.product.prodname_free_user %} on October 10th, her paid subscription will remain in effect until the end of her current billing cycle on November 4th. On November 5th, her account will move to {% data variables.product.prodname_free_user %}.
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### Example of changing from a yearly to a monthly subscription for a personal account or organization
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{% data reusables.accounts.accounts-billed-separately %}
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Ravi pays for a yearly subscription on October 5th every year. If Ravi switches from a yearly to monthly billing on December 10th, his account remains on the yearly subscription until the end of its current billing cycle on October 4th the next year. On October 5th of the next year, Ravi will be charged for a month of service. His next billing date will be November 5th.
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Making a change to the {% data variables.product.github %} plan for your personal account, organization, or enterprise account does not affect billing for use of {% data variables.product.github %} features, such as {% data variables.product.prodname_copilot_short %} or paid apps purchased in {% data variables.product.prodname_marketplace %}.
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### Example of adding paid seats to your organization
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For more information, see [AUTOTITLE](/get-started/learning-about-github/githubs-plans) and [AUTOTITLE](/billing/using-the-billing-platform/about-billing-on-github).
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Mada's organization pays for 25 seats on the 15th of every month. If Mada adds ten paid seats on June 4th, her organization is immediately charged a prorated amount for ten additional seats for the time between June 4th and June 14th, and the seats are available to use immediately. On June 15th, Mada's organization will pay for 35 seats.
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## Examples
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### Example of removing paid seats from your organization
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The following examples illustrate how billing rules are applied in practice:
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Stefan's organization pays for 50 seats every year on May 20th. If Stefan removes 20 seats and downgrades to a new total of 30 paid seats on September 30, his organization can still access its 50 paid seats until the end of its current billing cycle on May 19th. On May 20th, the downgrade will take effect - Stefan's organization will pay for 30 seats and will have access to 30 paid seats.
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***Canceling a monthly subscription:** Kumiko pays on the 5th of each month. She cancels on October 10th. Her subscription remains active until November 4th, then downgrades on November 5th.
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***Switching from yearly to monthly:** Ravi has a yearly subscription billed October 5th. He switches on December 10th, but the change won’t apply until the next renewal on October 5th the following year.
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***Adding paid seats:** Mada’s organization pays for 25 seats on the 15th. She adds 10 more on June 4th. She’s immediately charged a prorated amount for June 4–14, and billed for 35 seats starting June 15th.
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***Removing paid seats:** Stefan’s organization pays for 50 seats annually on May 20th. On September 30th, he removes 20 seats. The change takes effect on the next renewal (May 20th), when the organization will pay for 30 seats.
intro: 'Learn how billing works when you connect your {% data variables.product.github %} account to an Azure subscription.'
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versions:
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fpt: '*'
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ghec: '*'
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ghes: '*'
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topics:
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- Billing
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- Enterprise
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allowTitleToDifferFromFilename: true
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contentType: reference
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---
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You can connect an Azure subscription to your {% data variables.product.github %} account. When you do, charges for {% data variables.product.github %} products (such as {% data variables.product.prodname_copilot_short %}, {% data variables.product.prodname_actions %}, or {% data variables.product.prodname_codespaces %}) are billed through Azure instead of directly through {% data variables.product.github %}.
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Connecting an Azure subscription allows you to consolidate invoices and manage {% data variables.product.github %} spending within your organization’s existing Azure billing processes.
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For details on how to connect, see [AUTOTITLE](/billing/managing-the-plan-for-your-github-account/connecting-an-azure-subscription).
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## Billing cycles and invoicing
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* Azure billing periods run on a **calendar month**: from the first day to the last day of each month.
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* Usage data from {% data variables.product.github %} is transmitted to Azure **daily**.
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* Your charges for the month appear on your **Azure invoice at the start of the next month**.
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If you enable Azure subscription billing in the middle of a {% data variables.product.github %} billing cycle:
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* Usage before the switch is charged by {% data variables.product.github %} on your next {% data variables.product.github %} bill.
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* Usage after the switch is charged by Azure, beginning from the date metered billing is enabled.
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## Usage tracking
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* Usage is measured daily and sent to Azure.
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* The usage metric depends on the product:
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***Copilot:** Number of active seats.
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***Actions:** Minutes used.
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***Codespaces:** Compute hours used.
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## Payment methods
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When you pay through Azure, your organization’s standard Azure payment methods apply. You will not be billed separately by {% data variables.product.github %} for the connected products.
This article provides information about how {% data variables.product.prodname_copilot_short %} metered billing works when you connect an Azure subscription to your organization or enterprise account.
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You can connect an Azure subscription to your organization or enterprise account and pay for {% data variables.product.prodname_copilot_short %} through Azure.
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## Metered billing activation
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{% data variables.product.prodname_copilot_short %} billing follows the same rules as other {% data variables.product.github %} products billed through Azure, including billing periods, invoicing, and usage reporting. For details, see [AUTOTITLE](/billing/reference/azure-billing).
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* When you connect your Azure subscription and enable metered billing, usage data begins flowing from {% data variables.product.github %} to Azure.
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* Any {% data variables.product.prodname_copilot_short %} usage from the start of your current {% data variables.product.github %} billing cycle up to the point when you enable metered billing via Azure will be billed through {% data variables.product.prodname_dotcom %} on your next billing date.
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* Usage from the date Azure metered billing is enabled through to the end of that calendar month will be charged via Azure, and appears on your Azure invoice at the start of the next month.
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## {% data variables.product.prodname_copilot_short %}-specific usage
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For more information, see [AUTOTITLE](/billing/managing-the-plan-for-your-github-account/connecting-an-azure-subscription).
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* {% data variables.product.prodname_copilot_short %} license usage is measured as the **number of active seats**.
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* If people use more than their included allowance of premium requests, the cost of any additional usage is included.
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* Usage data is sent daily to Azure.
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* Charges for the calendar month appear on your Azure invoice at the start of the next month.
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## Usage tracking and invoicing
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* Usage data is transmitted from {% data variables.product.github %} to Azure **daily**.
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* You can **track daily usage (number of seats) in Azure**.
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* Actual billing and payments are processed **monthly**, based on the number of seats used during that calendar month.
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To connect your Azure subscription, see [AUTOTITLE](/billing/managing-the-plan-for-your-github-account/connecting-an-azure-subscription).
{% data variables.product.prodname_copilot_short %} uses the same billing cycle as other license-based products. For details about how billing cycles work across all products, see [AUTOTITLE](/billing/concepts/billing-cycles).
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* The billing cycle for {% data variables.product.prodname_copilot_short %} in organizations and enterprises is **monthly**.
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* Charges are calculated based on the **number of {% data variables.product.prodname_copilot_short %} seats (licenses) assigned during the billing cycle**.
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## When does billing occur?
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Within that framework:
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Billed users are calculated once per month, at the end of each billing cycle, based on the number of {% data variables.product.prodname_copilot_short %} seats that are assigned. You can add or remove seats at any time during the billing cycle.
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* Charges are calculated based on the **number of {% data variables.product.prodname_copilot_short %} seats (licenses) assigned during the billing cycle**.
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* You can add or remove seats at any time. At the end of each billing cycle, billed users are calculated based on the number of seats assigned.
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For reference information about seat assignment, see [AUTOTITLE](/copilot/reference/copilot-billing/seat-assignment).
This article provides details about what happens when you add or remove {% data variables.product.prodname_copilot_short %} licenses, for organizations, enterprises, and personal accounts. Use it to check:
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***What** happens to billing and access
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***When** those changes take effect
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***How** proration or refunds are handled
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{% data variables.product.prodname_copilot_short %} follows the same billing rules as other license-based products on {% data variables.product.company_short %}.
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For the general concepts, see:
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*[AUTOTITLE](/billing/concepts/impact-of-plan-changes) – explains how upgrades, downgrades, and seat changes are billed.
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*[AUTOTITLE](/billing/concepts/enterprise-billing/usage-based-licenses) – explains how usage-based billing works compared to volume licensing.
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This article focuses on how those rules apply specifically to {% data variables.product.prodname_copilot_short %}, including:
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***What** happens to billing and access when you add, remove, or change seats
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***When** billing changes take effect
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***How** partial billing cycles are handled
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***{% data variables.product.prodname_copilot_short %}-only scenarios** such as revoking seats, disabling {% data variables.product.prodname_copilot_short %} at the organization or enterprise level, or removing organizations from an enterprise
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