TalentLMS lets you upgrade or downgrade your current subscription plan at any point during your monthly billing cycle. The system applies prorated billing to ensure fair charges based on actual usage, whether billed immediately or on your next invoice.
- For upgrades, any price difference is charged immediately and prorated based on actual usage.
- For downgrades, the adjustment is reflected in your next invoice.
Let’s see how the TalentLMS billing system works in more detail
When you subscribe to a TalentLMS paid plan and choose to pay on a monthly basis, you’re always charged at the beginning of your billing cycle (i.e., the day you purchased your initial plan) for a full month’s use (i.e., until the end of your billing cycle).
If you downgrade your plan in the middle of your billing cycle, the change takes effect immediately, and any difference in cost is prorated and applied to your next bill.
If you upgrade your plan, the new plan is immediately activated, and you’re charged for the upgrade right away. A new invoice is issued at the time of the upgrade to cover the cost difference for the remaining days in your current billing cycle. This charge is calculated based on prorated billing to ensure fair usage pricing.
| Note: In case of a failed payment for a monthly upgrade, the system will not allow you to complete the upgrade. |
Here’s a quick example:
When you sign up for the Core plan (i.e., 149 USD/month for up to 40 registered users) on the 10th of the month, you’re charged 149 USD on the 10th of each month.
If during the 3rd month, you upgrade to the Grow plan (i.e., 299 USD for up to 70 registered users) on the 28th, here’s how you're charged:
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Month 1 (billed on the 10th): 149 USD
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Month 2 (billed on the 10th): 149 USD
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Month 3 (billed on the 10th): 149 USD
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Upgrade on the 28th: Prorated upgrade fee of 60 USD is charged immediately (i.e., a separate invoice is issued and settled right away)
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Month 4 (billed on the 10th): 299 USD
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Month 5 (billed on the 10th): 299 USD
The 60 USD charge corresponds to the difference between your previous plan and your new plan for the 12 days remaining in your billing cycle, from the 28th to the 10th of the following month.
Calculation: (12/30 × 299) - (12/30 × 149) = 119.6 - 59.6 = 60
| Note: The difference is calculated as follows: (Days left till the end of the billing cycle / Total days in a billing cycle × New plan fee) - (Days left till the end of the billing cycle / Total days in a billing cycle × Previous plan fee). |
Other charges in monthly fees
Flex plans apply soft limits (i.e., even when you reach your account limit, the system does not prevent users from logging in). If during a billing cycle, you go over your limit of logged in users, you’re charged for extra usage on your next month’s bill.
A separate item is included in your invoice to inform you of what the extra charge is for.
Cancellation
When you cancel your subscription at any point during your monthly billing cycle, your TalentLMS portal remains active until the end of the billing cycle.