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Understand how billing works for a monthly or annual subscription
Understand how billing works for a monthly or annual subscription

What you can expect to find on your Intercom invoice and what the charges mean.

Beth-Ann Sher avatar
Written by Beth-Ann Sher
Updated over a week ago

This article refers to our new pricing plans. If you joined Intercom before November 15, 2023, this information may not apply to you. For information about one of our legacy plans, please log in to view these articles instead, or contact us through the Messenger.

There are two invoice experiences depending on whether you pay monthly or yearly for your Intercom subscription. We’ll cover each one below and what you can expect to see on your invoice.

Pay monthly subscriptions

If you pay monthly for your Intercom subscription (not on a contract), you’ll receive one invoice each month that includes your core plan subscription and seats for the next month, as well as your usage from the previous month.

Your invoice will have three sections in the summary:

  • Additional Usage - this is where all usage-based charges will be captured.

  • Subscription: Prorations - this only displays when a proration occurs for seats or add-ons.

  • Subscription - this will include your core plan subscription and any add-ons you’ve added to your plan.

A detailed breakdown of charges in each group will be shown below this summary.

Below is an example of an invoice which includes both Additional Usage and Prorations for seats added during the billing period. This is only an example of how an invoice may appear, your invoice will vary depending on your own subscription and usage.

Example: monthly invoice with Additional Usage & Prorations

If you change your seat count mid-period, the estimated seat cost on the Subscription page and the actual invoice won’t match:

  • Your invoice will show accurate billing based on the actual usage days of each seat to ensure you’re only charged for the duration a seat is used.

  • However, the Subscription page will display seat costs based on the most recent seat count, not accounting for any prorated charges.

Prorations

Proration occurs when seats or add-ons are added to an existing subscription, or if you upgrade your plan during the billing period. They’ll be prorated based on usage during that billing period. This means you’ll only be charged for the periods for which these services were enabled.

Prorated charges appear as a section on the invoice to make them easy to read.

Seats proration

When seats are added or removed during the billing period, two lines will be added to the Prorated Usage section of the invoice for the dates of change:

  • Remaining Time - will debit (charge) for the updated seats allocation from the date of change to the next billing date.

  • Unused Time - will credit back all seats allocation that was pre-billed from date of the change to the next billing cycle.

Example

Initial charge (September 1st):

  • You were billed ahead for 1 Essential seat @ $39/seat = $39. Your invoice will have a line which shows:

    • September 1st - September 30th: 1 seat - $39

Adding more seats (September 15th):

  • You add 5 additional seats.

Next month's invoice (October 1st):

  • Your invoice will show:

    • September 15th - September 30th: 5 seats - $104 (5 seats prorated for 16 days).

    • October 1st - October 31st: 6 seats - $234 (billed ahead for one month, 6 seats @ $39/seat).​

Proactive Support Plus proration

If added to a monthly subscription, Proactive Support Plus will be prorated from the date added to the next billing date, and billed in arrears. Then billed in advance for the next period.

If removed from a monthly subscription, you’ll retain access to this add-on until the end of the current billing period and you won’t be billed for this in advance for the next period. This means no prorated charge will apply.

For customers on a quarterly/annual contract, Proactive Support Plus will be prorated based on the contracted start and end dates for the service.

Payments

Your invoice must be paid online using a credit card or with Google Pay / Apple Pay.


Pay yearly subscriptions

If you pay yearly for your Intercom subscription (not on a contract), you’ll receive one invoice each year that includes your core plan subscription and seats for the year. You will also receive a monthly invoice with any Additional Usage charges or Prorations from the previous month.

Your annual invoice will show:

  • Subscription - this will include your core plan subscription, seats, and any add-ons.

A monthly invoice can show:

  • Additional Usage - this is where all usage-based charges will be captured.

  • Subscription: Prorations - this only displays when a proration occurs for seats, add-ons, or plan upgrades (i.e. from Essential to Advanced).

A detailed breakdown of charges will also be shown.

Additional usage is always charged at list price (annual discounts do not apply).

Prorations

Proration occurs when seats or add-ons are added to an existing subscription, or if you upgrade your plan during the current billing period. These will be billed ahead from the date they were added until the end of the billing period.

Go to Billing > Manage subscription to amend your annual subscription by upgrading your plan or adding seats or add-ons.

When you pay yearly for your subscription, it's not possible to downgrade your plan or remove seats or add-ons during the current billing period. However, these can be changed or removed when your subscription is up for renewal.

Seats proration

If you’re on a pay yearly subscription, you can amend your plan to add additional seats prorated for the remainder of your annual subscription.

For example, you start an annual subscription of the Advanced plan on April 25, 2024 with only two seats. Then on April 29, 2024 you amend your subscription and increase your seats to five. You will receive an invoice for Prorated Usage showing:

  • Remaining time - will debit (charge) for the updated seats allocation from the date of change to the next billing date.

  • Unused time - will credit back all seats allocation that was pre-billed from date of the change to the next billing period.

Example: Invoice with seats proration

If all seats in your annual subscription are already assigned and you invite more teammates, you will be billed for additional seats when teammates accept the invite. These seats will be charged at the standard seat price as monthly overages and billed at the end of each month that they were assigned to a teammate.

Proactive Support Plus proration

If you add Proactive Support Plus to an annual subscription, you will be billed the base fee for the remaining months left on your annual subscription.

For example, if you add Proactive Support Plus at the start of your subscription, you would be billed ahead $99 x 12 months = $1,188.

If removed from a yearly subscription, you’ll retain access to Proactive Support Plus until the end of the current billing period and you won’t be billed for this in advance for the next period (i.e. the following year). This means no prorated charge will apply.

Proactive Support Plus channel usage over 500 messages will be charged monthly and billed in arrears. You’ll receive a monthly invoice for these Additional Usage charges.

Payments

Your invoice must be paid online using a credit card or with Google Pay / Apple Pay.


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