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Usage-based billing for enterprise licenses

Learn about usage-based billing for licenses in your GitHub Enterprise plan, whether you pay through GitHub or Azure.

Who can use this feature?

Enterprise administrators

GitHub Enterprise

With usage-based billing, you pay monthly for the number of GitHub Enterprise and GitHub Advanced Security licenses you use. You do not need to buy a predefined number of licenses in advance.

Usage-based billing for licenses provides flexibility and cost savings compared to more traditional licensing models, such as volume or subscription models.

Do I have usage-based billing?

You are already enrolled in usage-based billing if you created a trial of GitHub Enterprise Cloud on or after August 1, 2024.

If you currently pay for your GitHub Enterprise licenses by invoice with a volume, subscription, or prepaid agreement, you will continue to be billed in this way until your agreement expires. At renewal, you have the option to switch to the metered billing model.

Can I use GitHub Enterprise Server?

Although you can sync licenses with GitHub Enterprise Server, usage-based licensing is a cloud-first license model where users must first be added to an organization on GitHub Enterprise Cloud.

For a detailed comparison between usage-based and volume licensing models, see Combined GitHub Enterprise cloud and server use.

Can I use a Visual Studio bundle?

If you have a Visual Studio bundle with GitHub Enterprise Cloud, you can switch to usage-based billing by contacting your account manager or GitHub's Sales team ahead of contract renewal.

Usage-based billing will apply to non-bundled licenses, categorized as "GitHub Enterprise licenses" on your enterprise's Licensing page. These licenses include:

  • Licenses for enterprise members who are not matched to a Visual Studio account.
  • Any extra GitHub Enterprise licenses you consume beyond the number of licenses purchased in your volume agreement.

Bundled licenses (Visual Studio plus GitHub Enterprise) remain on a volume agreement.

Before switching to usage-based billing, to ensure you are not charged extra for Visual Studio users who should consume a bundled license:

  • Ensure all Visual Studio users are correctly matched to their account on GitHub. See Setting up Visual Studio subscriptions with GitHub Enterprise.
  • Add all Visual Studio users to your enterprise on GitHub Enterprise Cloud before adding them to GitHub Enterprise Server. Users who are only on GitHub Enterprise Server will consume a "GitHub Enterprise" license once you switch to usage-based billing.

How are metered licenses measured?

With metered billing, the cost of a license is calculated by measuring consumed licenses and billable licenses.

  • Consumed licenses: The number of licenses currently in use.
  • Billable licenses: The unique licenses billed in a billing cycle. If a user stops consuming a license within the month, the adjustment is reflected in your next month's bill.

If a user starts consuming a licensed seat in the middle of the billing cycle, you will pay pro rata for the user's license usage that month.

For example: The billing cycle begins on the first day of the month, and the account starts with 0 licenses.

  • Day 1: The administrator adds 10 licensed users.
  • Day 2: The administrator adds 20 licensed users.
  • Day 3: The administrator removes 5 licensed users.
  • Day 4: No change.

At the end of day 4, there will be:

  • 25 consumed licenses (10 + 20 - 5). This is the number of users actively consuming licenses.
  • 30 billable licenses (10 + 20). This is the number of distinct users that consumed a license at some point during the month.

Pending invitations to join an organization that belongs to your enterprise on GitHub do not consume a license.

Which payment methods can I use?

You can use the following payment methods for usage-based billing for licenses:

  • Invoiced and self-serve GitHub Enterprise customers can pay using a credit card or PayPal
  • Invoiced customers can also pay using prepaid credits (only available to customers who have a volume subscription with or without metered add-ons)
  • You can connect an Azure subscription to your enterprise account
  • For purchase orders, you can contact your account manager in GitHub's Sales team