For customers applying credits in the AWS console, it's important to understand how AWS manages these credits during transactions in the channel.
Selecting where to apply credits
When selecting credits to apply, AWS prioritizes the credits based on the following parameters:
- Earliest to expire
- Least number of applicable products
- Oldest credit
When selecting usage to apply credits to, AWS prioritizes the credits based on the following:
- Account that owns the credit
- Account with the highest spend
- Service with the highest spend within that account
- SKU with the highest spend within that service
AWS repeats this process until the applicable credits are exhausted. AWS applies the credit to the largest available charge across all eligible sellers of record. This means that AWS tries to apply your credits before they expire. So, they might use generic credit for a specific service.
Rules when an account is under the AWS Organization
The following rules specify how AWS applies credits to bills for single accounts and for organizations by default (Credit sharing turned on):
- The billing cycle begins on the first day of each month.
- If an account is owned on the first day of the month by an individual who is not part of an organization, but joins the organization later in the month, AWS applies credits that are owned by the individual to that individual's bill for their usage for that month. The next month, AWS applies credits to the organization the individual joined.
- If an organization owns an account at the beginning of the month, AWS adds credits redeemed by the payer account or any other account connected to the organization's bill, even if the account leaves the organization during that month. The start of the month begins one second after 0:00 UTC+0. For example, assume that an account leaves an organization on August 1. AWS still applies the August credits the account redeemed to the organization's bill because the account belonged to the organization during that calendar month.
- If an individual leaves an organization during the month, AWS begins applying credits to the individual’s account on the first day of the following month.
- Credits are shared with all accounts that join an organization at any point in the month. However, the organization’s shared credit pool consists of only credits from accounts that have been part of the organization since the first day of the month.
- AWS credits are applied to an AWS account within the AWS Console. Refer to this AWS article for how to apply Redeem Your AWS Promotional Credit: AWS Credit
Highly recommended TDS training class: Setting Up and Managing your AWS Business on StreamOne Ion. This training will assist you in understanding how StreamOne Ion handles AWS business complexities, setting up your AWS business, understanding reports, and reconciling billing data. (This is partner-facing training.)
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