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---
stage: Fulfillment
group: Purchase
info: To determine the technical writer assigned to the Stage/Group associated with this page, see https://about.gitlab.com/handbook/engineering/ux/technical-writing/#assignments
---
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# Quarterly reconciliation and annual true-ups **(PREMIUM)**
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GitLab reviews your seat usage and sends you an invoice for any overages.
This review can occur:
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- **Annually**, also known as the annual true-up process. This process requires you to pay the full annual subscription fee
for users added anytime during the year.
- **Quarterly**. With this process, you only pay for the remaining period of your subscription term.
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## Quarterly reconciliation process
With the quarterly reconciliation process, if you add users in the third quarter of your subscription term, for example,
you only pay 25% of what you would have paid previously. This calculation results in substantial savings.
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If it's not possible for you to participate in quarterly reconciliations, you can opt out of the
process by using a contract amendment. In that case, you default to the annual review.
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## Timeline for quarterly invoicing and payment
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At the end of each subscription quarter, GitLab notifies you about overages.
The date you're notified about the overage is not the same as the date
you are billed.
### GitLab SaaS
Group owners receive an email **on the reconciliation date** .
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The email communicates the [overage seat quantity ](gitlab_com/index.md#seats-owed )
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and expected invoice amount.
**Seven days later**, the subscription is updated to include the additional
seats, and an invoice is generated for a prorated amount. If a credit card
is on file, a payment is automatically applied. Otherwise, an invoice is
sent and subject to your terms.
### Self-managed instances
Admins receive an email **six days after the reconciliation date** .
This email communicates the [overage seat quantity ](self_managed/index.md#users-over-license )
and expected invoice amount.
**Seven days later**, the subscription is updated to include the additional
seats, and an invoice is generated for a prorated amount. If a credit card
is on file, a payment is automatically applied. Otherwise, an invoice is
sent and subject to your payment terms.
