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Example of rollover

Suppose you provide a monthly service:

  • $50 per month includes up to 500 minutes free talk each month.

  • The unused minutes from the monthly plan allowance can roll over to the following months.

  • If the usage exceeds the monthly plan allowance, pay overage $0.1 per minute.

You can set the following rate plans for your service:

  • Create a recurring rate plan and set the flat rate of $50 per month.

  • Create an overage monthly rate plan.

    • Set Included Units to 500 minutes.

    • Set List Price to $ 0.1 .

    • Select Month from the Billing Period list.

    • Select Rollover from the Smoothing Model list.

    • Type 3 in the Number of Periods field.

The following table lists the usage for a customer who subscribes your service for a year:

Month

Units in Plan

Usage

Month in Period

Unused Units in the Rollover Period

Overage

Action

Notes

January

500

450

January

50

0

None

The unused units (50) roll over to February.

February

500

600

January, February

0

50

Reset

The usage in February (600) exceeds the total units that can be used (550).

Extra 50 units ($5) are charged at the end of this period.

The window is reset at the end of this rollover period (January -February).

The next rollover period is: March-May.

March

500

450

March

50

0

None

The unused units (50) rolls over to April.

April

500

450

March, April

100

0

None

The unused units (100) rolls over to May.

May

500

1000

March, April, May

0

400

Reset

The usage in May (1000) exceeds the total units that can be used (600).

Extra 400 units ($40) are charged at the end of this period.

The window is reset at the end of this rollover period (March - May).

June

500

450

June

50

0

None

The unused units (50) rolls over to July.

July

500

450

June, July

100

0

None

The unused units (100) rolls over to August.

August

500

450

June, July, August

150

0

None

The unused units (150) rolls over to September.

September

500

450

July, August, September

150

0

None

The unused units (150) rolls over to October. The unused units in June (50) are expired.

October

500

450

August, September, October

150

0

None

The unused units (150) rolls over to November.The unused units in July (50) are expired.

November

500

1000

September, October, November

0

350

Reset

The usage in November (1000) exceeds the total units that can be used (650).

Extra 350 units ($35) are charged at the end of this period.

The window is reset at the end of this rollover period (September - November).

December

500

660

December

0

160

Reset

The usage in December (660) exceeds the total units that can be used (500).

Extra 160 units ($16) are charged at the end of this period.

Overage charges by service period

The following table lists the overage charges and their corresponding service periods:

Service Period Quantity Total
02/01/2015 to 02/28/2015 50 $5
05/01/2015 to 05/31/2015 400 $40
11/01/2015 to 11/30/2015 350 $35
12/01/2015 to 12/31/2015 160 $16