Incremental Tiered Pricing
This page explains how transactions subject to incremental tiered pricing are billed.
Pricing is based on incremental tiers, where each price tier applies only to the transactions within that tier. When a higher tier is reached, only the additional transactions are billed at the lower price. As a result, the total price increases continuously with higher usage.
The following example illustrates the pricing logic and shows how the total amount is calculated:
|
Transactions |
Transactions Billed |
Price per Transaction |
Cost per Tier |
|
1–499 |
499 |
$1.00 |
500 × $1.00 = $499.00 |
|
500–999 |
500 |
$0.95 |
500 × $0.95 = $475.00 |
|
1,000–1,999 |
1,000 |
$0.90 |
1,000 × $0.90 = $900.00 |
|
2,000+ |
201 |
$0.85 |
201 × $0.85 = $170.85 |
|
Total |
2,200 |
|
$2,044.85 |