# Pricing Policies and Best Practices ### **Billing & Subscription Policy** This document explains the pricing policy, billing behavior, subscription structure, and best practices to help users understand how billing works across different types of cloud resources. It is intended for all standard users of the platform. ### **1. Scope and Applicability** This billing and subscription policy applies to: * All customers use compute, storage, managed services, and networking resources. * Both prepaid and postpaid billing models. * All supported currencies (INR, USD). Enterprise accounts or custom contractual terms may differ. Please consult your dedicated account manager if applicable. ### **2. Glossary of Terms** | **Term** | **Definition** | | ----------------------------- | --------------------------------------------------------------------------------------------------------------------- | | **Fixed Plan** | A subscription with a defined duration (e.g., Monthly, Quarterly, Yearly) and price. | | **Consumption-based Billing** | Pay-as-you-go model where charges are accrued hourly based on usage. | | **Spot Instances** | Discounted compute resources that are billed hourly with variable pricing. | | **Wallet** | Prepaid account balance used to deduct charges for prepaid users. | | **Credits** | Promotional balance given on signup, used before wallet funds. | | **Renewal** | The process of extending a subscription or deducting charges at the end of a billing cycle. | | **Downgrade** | Moving from a higher-cost or longer-term plan to a cheaper or shorter one \[allowed only for consumption based plans] | ### **3. Billing Models by Resource Type** #### **3.1 Compute Instances** * **Billing Options:** * Fixed Plan: Monthly, Quarterly, Half-Yearly, Yearly. * Consumption-based Plan: Hourly usage-based billing. * **Spot Instances:** * Always consumption-based (default plan: hourly). * Pricing is **dynamic** and may change based on supply-demand conditions. * Users must monitor real-time spot pricing. #### **3.2 Storage (Volumes)** * **Billing Options:** * Fixed (Subscription-based). * Usage-Based (Hourly Subscription). #### **3.3 Managed Services** Includes: Kubernetes (K8s), DBaaS (Databases), DRaaS (Disaster Recovery), Networking, Load Balancers, Routers, Floating IPs, and Public IPs. * **Billing Model:** * Primarily, usage-based billing is implemented. ### **4. Subscription Models** #### **4.1 Prepaid Billing** * **Who it's for:** Users who want strict control over costs. * **How it works:** * Usage charges are deducted from the wallet **hourly**. * If the total wallet balance (including credits) falls below the allowed limit, an alert is sent, and services are automatically suspended. * No usage is allowed beyond the available balance. * Free credits are consumed before the wallet balance. * All charges are applied **before** resource usage. * **Free Credits:** * These are automatically added after the user places their first project order following signup. * **Valid for 7 days** from account creation. #### **4.2 Postpaid Billing** * **Who it's for:** Users who prefer consolidated monthly invoicing. * **How it works:** * Resource usage is tracked hourly and billed on a monthly basis. * Invoices are generated on the **1st of every month (UTC)** and are made available to clients by the 9th of the same month. * Payment is due immediately upon invoice generation. ### **5. Resource-Level Subscription Behaviour** * Each resource has its **own subscription**. * Subscriptions are created when the resource is provisioned. * Fixed plans renew automatically unless disabled. * Prepaid balance and credits are used across subscriptions. * Alerts are triggered if the total balance (wallet + free credits) falls below the credit limit. * **Fixed-plan subscriptions** are reusable when the payment is made upfront, and the associated resource is deleted before the end of the billing cycle. * If a resource is deleted mid-cycle, the corresponding subscription is marked as **Inactive** and becomes available for reuse. * Resources such as virtual machines or storage volumes can be provisioned with the same configuration by reusing the **Inactive** subscription. #### Trial Period and Resource Deletion * **Trial Period Definition** \ A trial period allows users to provision and evaluate platform resources at no cost for a limited duration, starting after the user’s KYC verification is completed. * **Resource Behavior After Trial Expiry**\ Upon completion of the trial period, all resources provisioned under the trial will be automatically stopped. These resources will remain stopped for a limited grace period, after which they will be permanently deleted if no action is taken.\ \ Before permanent deletion, users will receive notifications prompting them to renew the services by upgrading to a paid plan and completing the applicable payment. * **Data Retention and Backup Policy**\ No data, snapshots, or backups associated with trial resources will be retained after deletion. Users are solely responsible for migrating or backing up any required data before the trial period expires. * **User Notifications** \ Users will receive advance notifications via email and/or the platform dashboard during the final phase of the trial period to support timely planning and resource transition. ### **6. Billing Frequencies** | **Billing Type** | **Prepaid** | **Postpaid** | | ------------------------------------------ | ----------------------------------- | --------------------------------------------------- | | **Hourly** | Charges deducted hourly from wallet | Usage tracked hourly, billed monthly | | **Fixed Plans** (Monthly, Quarterly, etc.) | Charge at start of cycle | Invoice generated on the 1st of the following month | ### **7. Billing Calculations** * Pro-rated calculations are only applicable to the ‘**Monthly’** fixed plan. * You can obtain an estimate for your resource(s) by visiting: [Estimate | AceCloud](https://customer.acecloud.ai/v1/en/estimate) #### **1. Postpaid Billing** In postpaid mode, the user is **billed monthly in arrears** — that is, they use the service first and are billed on the **1st of the next month (UTC)**. **Monthly Plan** * If a Monthly Fixed Plan is **created on the 16th day** of the month: * The invoice on the 1st of the next month will **only include charges for the 15 days** of usage. * Starting the next full month, the **entire monthly subscription fee** will apply. **Example:** * Plan: Monthly – ₹600 * Created: September 16 * September Invoice (generated on Oct 1): ₹600 ÷ 30 × 15 = ₹300 * October Invoice (generated Nov 1): ₹600 (full month) **Yearly Plan** * If a Yearly Fixed Plan is **created on the 16th day** of the month: * The invoice on the 1st of the next month will **include charges for the next 1 year** of usage, i.e., till the 15th of next year. * Starting from the next year, the **entire yearly subscription** will be renewed unless you opt out. **Example:** * Plan: Yearly – ₹6000 * Created: September 16 * September Invoice (generated on Oct 1): ₹6000 (full amount) #### **2. Prepaid Billing** In prepaid mode, the user pays **upfront** at the time of subscription creation or upgrade. Pro-rated calculations are applied **immediately**, and the wallet is charged accordingly. **Monthly Plan** * If created on the 16th day of the month: * Only the pro-rated amount for the **remaining 15 days** is charged at the time of subscription. * From the 1st of the next month, the full monthly fee is charged in advance. **Example:** * Plan: Monthly – ₹600 * Created: September 16 * Wallet charged \[**September 16**] : ₹600 ÷ 30 × 15 = ₹300 * Wallet charged \[**October 1**]: ₹600 is charged for October usage **Yearly Plan** * If created on the 16th day of the month: * Complete yearly amount is charged at the time of subscription. **Example:** * Plan: Monthly – ₹6000 * Created: September 16 * Wallet charged \[**September 16**]: ₹6000 #### **3. Upgrade Path With Pro-Rating (Prepaid or Postpaid)** When upgrading from a shorter plan to a longer one (e.g., Monthly → Quarterly): * The current subscription is **marked expired** * The **unused value** from the current plan is **credited** to the new plan * The **new plan starts immediately**, and the only **difference** is billed/charged **Example:** * Current: Monthly Plan – ₹600, used for 15 days * Upgrade: Quarterly Plan – ₹1500 * Unused value: ₹300 * Final charge: ₹1500 – ₹300 = ₹1200 (billed on next invoice for postpaid, or immediately deducted for prepaid) ### **8. Upgrades and Downgrades** #### **8.1 Allowed Paths** | **From** | **To** | **Notes** | | ----------------- | ------------------------------------- | ------------------------------------------------------ | | Monthly | Quarterly / Half-Yearly / Yearly | Plan duration upgrade | | Small VM | Large VM | Flavor/size upgrade | | Consumption Based | Consumption Based (higher/lower spec) | New config with usage-based billing | | Fixed Plan | Higher Fixed Plan | Long-term commitment upgrade | | Large VM | Small VM | Allowed only in case of **Hourly** or **Spot** pricing | #### **8.2 Disallowed Actions** * Downgrading (e.g., Yearly → Quarterly/Monthly/Hourly OR Quarterly → Monthly/Hourly) * Reducing VM/Volume flavor or size * Upgrading hourly plans directly (create new subscription) #### **8.3 Upgrade Process** * Existing subscription is **marked as expired** * New subscription begins immediately * End date of old plan set to the current time * Remaining value is **credited to the new plan** * All upgrades are seamless (avoid deleting and recreating resources) ### **9. Invoicing and Payments** #### **9.1 Invoice Generation** * **Postpaid:** Invoice on 1st of each month (UTC) * **Prepaid:** Charges are deducted per usage or at subscription start #### **9.2 Grouping** * Invoices are **grouped per project per region** * Each invoice contains a **detailed breakdown** of resources #### **9.3 Payment Methods Accepted** * Credit/Debit Cards * Razor-pay \[India] * Stripe \[US] #### **9.4 Currency and Tax Handling** * Supported currencies: **INR, USD** * Billing currency selected during signup * Prices are **exclusive of taxes** * Taxes (GST/VAT) are added to the invoice based on the billing address * If the billing address is in the **same state as the service provider**, an **18% GST** is applied. * If the billing address is in a **different state**, **9% CGST** and **9% SGST** are applied. #### **9.5 Invoice Disputes** * Any invoice-related disputes can be resolved by creating a support ticket through our portal. ### **10. Refund Policy** All payments are **non-refundable**. #### **10.1 No Refund Scenarios** * Fixed plans once the cycle has started * Deletion of prepaid resources mid-cycle * Unused services within an active plan Users are encouraged to monitor their usage and budget via the dashboard. ### **11. Best Practices for Users** #### **11.1 Operational Rules** * All times and renewals follow **UTC** * Fixed plans auto-renew unless canceled or the resources associated with the plan are deleted * Instance shutoff occurs immediately once the prepaid balance is exhausted * An alert is sent when nearing credit exhaustion * Avoid deleting and recreating resources to reset billing (creates multiple invoices) #### **11.2 Recommended Guidelines** * Use **Prepaid** for test/staging workloads or strict budget control * Use **Postpaid** for production workloads needing consolidated billing * Use **Fixed plans** for long-running, stable workloads to save cost * Monitor **spot instance prices** before deploying * Upgrade plans instead of starting new ones to ensure continuity * Enable **spending alerts** via the dashboard ### **12. Sample Billing Scenarios** #### **Scenario 1: Postpaid Hourly Usage** * Resource: VM Instance (S.8) * Created: June 10, 2025, 10:00 UTC * Rate: ₹3/hour * Billing: * Usage tracked from June 10 to June 30 * Invoice generated on July 1: ₹3 \* hours used * Services continue unless terminated #### **Scenario 2: Prepaid Hourly Usage** * Wallet balance: ₹500 + ₹2000 in free-credits * Resource consumes ₹10/hour * Usage continues until balance + credits = 0 * Services shut off automatically when exhausted #### **Scenario 3: Fixed Plan Upgrade** * Original Plan: Monthly (₹600), started Sept 1 * Upgrade to Yearly Plan on Sept 15 (₹6000) * Remaining balance: ₹300 credited * New charge: ₹6000 - ₹300 = ₹5700 * New plan is active immediately #### **Scenario 4: Spot Instance Price Change** * Initial rate: ₹2/hour * Spot price surges to ₹3/hour * User billed at the new rate from the price change timestamp * Total invoice reflects dynamic pricing #### **Scenario 5: Downgrade Attempt** * User tries to downgrade from Yearly to Monthly * Action blocked with message: “Downgrade not supported. Please contact support for options.” ### **13.** Frequently Asked Questions (FAQ) **Q1: What happens if I run out of prepaid balance?**\ **A:** Your services will be suspended immediately. You will receive an alert beforehand. **Q2: Can I change my billing model from Prepaid to Postpaid?**\ **A:** Not directly. You need to contact support or create a new account under the desired model. **Q3: If my wallet runs out or if I cancel, do I lose my data immediately?**\ **A:** If your wallet balance runs out, your resources will be removed after a few days. **Q4: Will I get a refund if I delete a prepaid resource early?**\ **A:** No. Unused time on fixed plans is non-refundable. The subscription can be reused if needed **Q5: How do I know when my free credits expire?**\ **A:** Credits are valid for 7 days from signup. Alerts are sent before the expiry date. You can also check your dashboard for the remaining credit and expiry date. **Q6: When will I be billed?**\ **A: Prepaid:** Instantly, at the time of resource creation. **Postpaid:** Monthly, based on actual usage. **Q7: Can I downgrade my plan?**\ **A:** Yes, downgrades are allowed for hourly/spot instance (usage-based) subscriptions. **Q8. What happens to my resources when the trial period ends?** \ **A:** When the trial period expires, all resources provisioned under the trial are automatically stopped. This includes compute instances, storage volumes, and any associated data. **Q9. Can I recover my data or resources after the trial ends?**\ **A:** Yes, trial resources can be recovered during a limited grace period by upgrading to a paid plan and completing the applicable payment. Once the grace period ends and the resources are permanently deleted, recovery is no longer possible. Users are advised to take timely action to avoid data loss. **Q10. How can I continue using resources after the trial period?**\ **A:** To continue using resources without interruption, users must upgrade to a paid plan before the trial period expires. Advance notifications are provided to help users plan upgrades or data migration. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.acecloud.ai/knowledge-base/billing/pricing-policies-and-best-practices.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. 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