What Is Pro-Rata Billing and How Is Your Invoice Calculated?
How invoice dates are set with pro-rata billing and how your first invoice is calculated, explained with an example.
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Pro-rata is a billing system with fixed invoice and payment dates. Whatever day of the month you order your service, your later payments fall on the 1st of each month.
A Worked Example
Say you order a service on 15 May. With pro-rata billing, the dates are:
| Date | |
|---|---|
| Invoice date | 15 May |
| Due date | 22 May |
| Next due date | 1 July |
Your first invoice covers the remaining 15 days of May plus the whole of June.
Let's assume the service costs 100 USD per month. Your first invoice is then roughly one and a half months: 150 USD + VAT (KDV, Turkish value-added tax).
After that, your invoices are due on the 1st of each month. In short, you pay from the 1st to the 1st.
When Is Your Invoice Issued?
- For services with pro-rata billing: Your invoice is issued 15 days before the end of each month.
- For services without pro-rata billing: Your invoice is issued on the same day of the next month (or year), counted from the day your order became active.
Frequently Asked Questions
What is pro-rata billing?
It is a system with fixed invoice and payment dates. After the first invoice, your payments fall on the 1st of each month.
Why does my first invoice cover more than a month?
The first invoice covers the remaining days of the month you ordered in plus the whole of the following month. This fixes your later payments to the 1st of the month.
When is my invoice issued?
For services with pro-rata billing, 15 days before the end of each month; for other services, on the same day of the next month or year, counted from the day the order became active.