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AWS Consolidated Billing Guide


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What Is Consolidated Billing?

Consolidated Billing enables you to consolidate payment for multiple Amazon Web Services (AWS) accounts within your company by designating a single paying account. Consolidated Billing enables you to see a combined view of AWS costs incurred by all accounts, as well as obtain a detailed cost report for each of the individual AWS accounts associated with your paying account. Consolidated Billing is offered at no additional charge.

Here's how it works:

  1. You sign up for Consolidated Billing, which designates your account as a paying account. This enables your account to pay the charges of the other accounts, which we call linked accounts in this guide.

  2. You add accounts to the Consolidated Bill.

  3. Each month we charge you for all the accounts you added to the Consolidated Bill.

How consolidated billing works

The paying account is billed for all costs of the linked accounts. However, each linked account is completely independent in every other way (signing up for services, accessing resources, using AWS Premium Support, etc.). The paying account owner cannot access data belonging to the linked account owners (e.g., their files in Amazon S3). Each account owner uses their own AWS credentials to access their resources (e.g., their own AWS Secret Access Key).

Owners of paying accounts are advised to secure their accounts by using AWS Multi-Factor Authentication and a strong password. For more information, see Security for the Paying Account.

Benefits of Consolidated Billing

 

When to Use Consolidated Billing

This section will help you determine whether Consolidated Billing is appropriate for you.

Consolidated Billing is a billing option that lets you get a single bill across multiple AWS accounts. For example, let's say you have eight different groups in your organization, each with an AWS account. You can put all the AWS accounts onto one Consolidated Bill. You can also download a detailed cost report that breaks down costs by group (for more information, see Downloadable Cost Report).

You should use Consolidated Billing for any of the following scenarios:

Consolidated Billing is strictly an accounting and billing feature. It is not a method for controlling accounts, or provisioning resources for accounts. It doesn't change how the accounts function or how they are accessed. Consolidated Billing, therefore, cannot be used for sharing computing resources between accounts.

In the future, AWS plans to provide additional functionality for user permissions and consolidating billing.

 

Using Consolidated Billing

This section describes the basics of how to use Consolidated Billing.  

Signing Up

To sign up and make your account a paying account, go to the Consolidated Billing page and follow the instructions there.

Note: You only need to sign the paying account up for Consolidated Billing. You don't need to sign up any of the accounts that you want to add to your Consolidated Bill.

You must have a valid payment method on file with AWS. You can use any form of payment that AWS supports. You must also have a valid phone number on file with AWS in case we ever need to contact you. Verifying your phone number takes only a couple of minutes and involves receiving a phone call during the sign-up process and entering a PIN number using the phone keypad.

We recommend you secure your paying account by using AWS Multi-Factor Authentication and a strong password. For more information, see Security for the Paying Account.  

Adding an Account to a Consolidated Bill

To add an account to the Consolidated Bill (and turn it into a linked account), you need the e-mail address of that account.

Important: You don't need to sign the account up for Consolidated Billing like you did the paying account. You simply need to add the account to your Consolidated Bill. If you accidentally signed the account up for Consolidated Billing, see Converting a Paying Account to a Normal Account. Once the account is converted, you can then link it to a paying account.

To add an account

  1. From the Consolidated Billing page, send a request to the account owner to add the account to the Consolidated Bill (simply click Send a Request and follow the on-screen instructions).

  2. AWS sends an e-mail to the account owner.

  3. The account owner clicks a link in the e-mail, logs in to the AWS web site when prompted, and accepts or denies the request.
If the account owner accepts the request, the account becomes part of the Consolidated Bill. You can add up to 20 accounts to the Consolidated Bill. If you need to add more, contact us at https://aws-portal.amazon.com/gp/aws/html-forms-controller/contactus/aws-account-and-billing.  

Effective Date

When the linked account owner accepts your request to pay the charges for the account, you immediately become responsible for the linked account's costs going forward. If that happens somewhere in the middle of the month, you're billed only for the latter part of the month. The linked account owner is still billed for the first part of the month, as shown in the following diagram.

Who gets billed based on effective date
 

Billing and Account Activity

Each month, AWS charges the paying account owner, and not the owners of the linked accounts. The paying account's AWS Account Activity page shows the total usage and costs across all the accounts on the bill. That page is updated multiple times each day. Each day, we make a downloadable cost report available (for more information, see Downloadable Cost Report).

Although the owners of the linked accounts aren't charged, they can still see their usage and costs by going to their AWS Account Activity pages. They can't view or obtain data for the paying account or any other linked accounts on the bill.  

Volume Discounts

For billing purposes, we treat all the accounts on the Consolidated Bill as if they were one account. Some services such as Amazon EC2 and Amazon S3 have volume pricing tiers across certain usage dimensions that give you lower prices when you use the service more. With Consolidated Billing, we combine the usage from all accounts to determine which volume pricing tiers to apply, giving you a lower overall price whenever possible. We then allocate each linked account a portion of the overall volume discount based on the account's usage.

The Account Activity page for each linked account displays an average tiered rate that is calculated across all the accounts on the Consolidated Bill. For example, let's say that Bob's Consolidated Bill includes both Bob's own account and Susan's account. Bob's account is the paying account, so he pays the charges for both himself and Susan.

As shown in the following figure, Bob uses 8 TB of data transfer out during the month, and Susan uses 4 TB (for a total of 12 TB used).

For the purposes of this example, AWS charges $0.17 per GB for the first 10 TB of data transfer out used, and $0.13 per GB for the next 40 TB used. This translates into $174.08 per TB for the first 10 TB, and $133.12 per TB for the next 40 TB (remember that 1 TB = 10244 bytes).

This means for the 12 TB total that Bob and Susan used, following is the total amount that Bob's paying account is charged: ($174.08 * 10 TB) + ($133.12 * 2 TB) = $1740.80 + $266.24 = $2007.04.

Volume discounts

The cost-per-unit of data transfer out for the month is therefore $2007.04 / 12 TB = $167.25 per TB. That is the average tiered rate shown on the Account Activity page for each linked account on the Consolidated Bill, and in the downloadable cost report.

Without the benefit of tiering across the entire Consolidated Bill, AWS would have charged Bob and Susan each $174.08 per TB for their usage, for a total of $2088.96.

Note that Amazon SimpleDB in particular has a free tier, so we apply that free tier to the total usage across all the accounts; we don't apply the free tier to each account's usage. For more information about Amazon SimpleDB billing tiers, go to the Amazon SimpleDB product page.  

Security for the Paying Account

Your paying account can pay the charges for and have information about multiple (or all) AWS accounts within your organization. Because the paying account has special capabilities, you should secure it. We recommend you use AWS Multi-Factor Authentication (for more information, go to http://aws.amazon.com/mfa). We also recommend you use a strong password that is at least 8 characters long, with uppercase and lowercase letters, at least one number, and at least one special character. You can change your password from the AWS Security Credentials page.  

Removing an Account from a Consolidated Bill

At any time, the paying account or linked account owner can end the relationship between the accounts. The account separation takes effect immediately and the linked account owner is billed for that account going forward. If the separation occurs somewhere in the middle of the month, the paying account owner is billed only for the earlier part of the month, and the linked account owner is billed for the latter part.

How the paying account owner removes the linked account

  1. From the Consolidated Billing page, the paying account owner searches for the linked account from the list of accounts on the Consolidated Bill.

  2. The paying account owner selects the account and clicks Remove from Bill.

How the linked account owner removes the linked account

  1. The linked account owner goes to the Payment Method page for the account and confirms that a valid credit card is on file with AWS.

  2. From the Payment Method page, the linked account owner clicks Remove your account from the Consolidated Bill.
 

Moving an Account to a Different Consolidated Bill

A linked account can move from one Consolidated Bill to another. Following is the overall process. In this example, Bob is the paying account owner, Susan is the linked account owner, and Vicky is the new paying account owner.

  1. Either Bob or Susan removes Susan's account from Bob's Consolidated Bill.

  2. Vicky sends a request to put Susan's account on her Consolidated Bill.

  3. Susan receives the request and accepts it.

  4. Susan's account becomes part of Vicky's Consolidated Bill.
After Susan's account is removed from Bob's Consolidated Bill, there might be a short period before Susan accepts Vicky's request. During the interim period, Susan is responsible for any charges she incurs (and so must have a valid payment method on file with AWS). Any costs she incurs during the interim period can't be charged to Vicky's account.  

Changing a Former Paying Account to a Linked Account

A former paying account can become a linked account. You just need to make sure the paying account doesn't have any other accounts on its Consolidated Bill or any outstanding requests to invite other accounts.

To change a former paying account to a linked account

  1. Ensure the paying account has no other accounts on its Consolidated Bill (see Removing an Account from a Consolidated Bill).

  2. Cancel any pending requests to invite other accounts to be on the bill, which you can do from the Consolidated Billing page.

  3. When you receive the request to add your account to a Consolidated Bill, accept it.
Your account is added to the paying account's Consolidated Bill.  

Downloadable Cost Report

From the Account Activity page, the owner of the paying account can download a cost report in CSV format. The file is updated daily and contains month-to-date data for each account's costs, broken down by AWS product and individual type of usage. The following table describes the fields included in the report. In the file, all values in the report (including field names) are enclosed in quotation marks. The table lists the fields in the order they appear in the report.

Field Name Description
Paying Account ID The 12-digit AWS account ID of the paying account.

Example: 123456789012

Account ID The 12-digit AWS account ID of the linked account.

Example: 123456789012

Start Date The start of the applicable charge period. In most months, this will be the beginning of the month. If the account was added to the Consolidated Bill or if the price for the listed product changed during the month this report covers, the Start Date will reflect the date of this change.

For example, if an AWS account was added to the Consolidated Bill on December 10 at noon UTC, then the Start Date shown in the December report is 2009-12-10 12:00:00 UTC. If the price for the listed product changes on December 23 at 9:00 a.m. UTC, the report will list a second row for the new price with a Start Date of 2009-12-23 09:00:00 UTC.

Example: 2009-10-31 09:45:02 UTC

End Date The end of the applicable charge period. In most cases, this will be the end of the month. If the account is removed from the Consolidated Bill, or if the price for the listed product changed, the End Date will reflect the date of this change.

Example: 2009-12-31 23:59:59 UTC

Product Name Name of the AWS product.

Example: Amazon Elastic Compute Cloud

Item Description Description of the type of usage this row lists. This description matches the description in the Account Activity page, including the average price of any usage that is based on a volume pricing tier. Any price value shown is rounded to 3 decimal places.

Example: $0.130 per GB Internet Data Transfer

Usage Amount The month-to-date amount of computing resources used.

Note that some AWS services are priced on a per 10,000 request basis. For these, the value shown in the Usage Amount field is the actual number of requests, not the number of 10,000 requests. For example, if you made 44,000 elastic IP address remap requests, the Usage Amount value will be 44000.000000, and not 4.400000.

Example: 5978.076524

Unit Price The price per unit of computing resources used as described in the Item Description field. Note that this report includes more decimal places than shown on the Account Activity page.

Note that for dimensions that show a price per 10,000 requests, the value shown in the Unit Price field is the price per request, not the price per 10,000 requests. For example, if the Item Description is $0.01 per 10,000 requests, then the Unit Price value is 0.000001.

Example: 0.11524242

Cost Before Tax The month-to-date cost, before any applicable VAT taxes that AWS charges.

Example: 4576.413190

Cost After Tax The month-to-date cost, after any applicable VAT taxes that AWS charges.

Example: 4576.413190

Currency Currency of the displayed cost values.

Example: USD


 

Other Things You Need to Know

There are a few other things to know about how Consolidated Billing works with other parts of AWS.  

Amazon EC2 Reserved Instances

For billing purposes, Consolidated Billing treats all the accounts on the Consolidated Bill as one account. This means that all accounts on a Consolidated Bill can receive the hourly cost benefit of Amazon EC2 Reserved Instances purchased by any other account.

For example, Bob and Susan each have an account on Bob's Consolidated Bill. Susan has 5 Reserved Instances, and Bob has none. During one particular hour, Susan uses 3 instances and Bob uses 6, for a total of 9 instances used on Bob's Consolidated Bill. We bill 5 as Reserved Instances, and the remaining 4 as normal instances.

Let's say the Reserved Instances cost $0.02 per instance-hour. For these instances, we charge 5 x $0.02 = $0.10.

Let's say the normal Amazon EC2 rate is $0.10 per instance-hour. For the remaining 4 instances, we charge 4 x $0.10 = $0.40.

So, the total amount Bob is charged for the 9 instances is $0.10 + $0.40 = $0.50. If we hadn't applied the cost benefit of Susan's 5 Reserved Instances to the 9 instances on Bob's Consolidated Bill, he would have instead paid $0.64 total.

In terms of cost attribution, we attribute a dollar amount to Bob and Susan based on each person's usage. Susan used 3 of the 9 instances (one-third), and Bob used 6 (two-thirds). Therefore on the bill, one-third of the $0.50 is attributed to Susan, and the other two-thirds is attributed to Bob.

Bob receives the cost benefit from Susan's Reserved Instances only if he launches his instances in the Availability Zone where Susan purchased her Reserved Instances. For example, if Susan specified us-east-1a when she purchased her Reserved Instances, Bob must specify us-east-1a when he launches his instances in order to get the cost benefit on his Consolidated Bill. However, the actual locations of Availability Zones are independent from one account to another. For example, the us-east-1a Availability Zone for Bob's account might be in a different location than for Susan's account.  

AWS Premium Support

If a particular account is signed up for AWS Premium Support, the support fees for that account are still computed based on that individual account's portion of the Consolidated Bill. The pricing tiers for Gold Premium Support are calculated on an individual account basis. As with standalone accounts, only accounts that are signed up for Premium Support may contact support with account-specific questions.  

Amazon DevPay

AWS Consolidated Billing doesn't support Amazon DevPay products. An account owner who creates a DevPay product pays the AWS costs associated with that product; the charges can't be included as part of a Consolidated Bill. An account owner who purchases and uses a DevPay product pays the product's costs directly; those charges can't be included as part of a Consolidated Bill.  

AWS Credits

To give the paying account owner the lowest bill, any AWS credits the paying and linked accounts have are applied to the Consolidated Bill. If a linked account is removed from a Consolidated Bill, any unused credits belonging to that account go with it.  

Taxes

Any taxes that AWS charges are computed for each account individually (based on the address of the account), and then charged to the paying account.

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