Calculation of Billing in Happeo

Here, you can find information regarding how Happeo calculates billing.

Happeo seating and billing

Happeo seating is tied to your provisioning source (i.e. Google, Okta, Entra ID). This enables Administrators to easily create and seat new Happeo users. Any user who is seated will be billed automatically. You can also seat or remove seats from individual user from the User Management section in the Admin Settings.

Monthly billing

In monthly billing, seated users will be billed by the day and at the end of the monthly billing cycle. This enables Administrators to seat users flexibly during the billing month. 

Example 1

An organization has 10 seated users. An Admin seats 1 new User on the 15th day of the monthly billing cycle.

In this case, Happeo will invoice 10 seats for monthly seat cost and 1 seat (monthly seat cost/days in a month * end of billing cycle day - user-created day). If the billing cycle month has 30 days, then the invoice will be (10*30 + 1*15) * (monthly seat cost / 30).

Example 2

An organization has 10 seated users. An Admin removes a seat from 1 user on the 15th day of the monthly billing cycle.

In this case, Happeo will invoice 9 seats for monthly seat cost and 1 seat (monthly seat cost/days in a month * user unseated day). If the billing cycle month has 30 days, then the invoice will be (10*30 + 1*15) * (monthly seat cost / 30).

Annual billing

In annual billing, seats are billed annually in advance. Seated users can only increase during the annual billing cycle. Any added seats are billed from the added day forward to the end of the billing cycle.

Example 1

An organization has 10 seated users. An Admin seats 1 new user on the 2nd month of the annual billing cycle.

In this case, Happeo will invoice 1 seat (annual seat cost/days in a year) * (end of billing cycle day - user-created day). This means 1 seat * 10 months. In the next annual cycle, 11 seats will be invoiced for the full year.

Example 2

An organization has 10 seated users. An Admin removes a seat from 1 user in month 8 of an annual billing cycle.

In this case, Happeo will not send any invoices. For the next billing cycle, 9 seats will be invoiced, unless the amount is below the contractual minimum. If the contract is for 10 seats, the next invoice cycle will be for ten seats. The seat count can be decreased at the next Renewal.