HOW DOES PRO RATA BILLING WORK?
What is pro rata? Pro rata is the portion of the fixed monthly charges for
your plan. It covers the period from the date that you connected to us until the
time of your first bill.
What will this look like on your first bill?
When you receive your fist bill, you will see two separate ‘Month Charges’.
Monthly Charges are minimum spend and access fees (if applicable).
1. Pro Rata – the period from the date that you connected to us until the
time of your first bill.
2. The full monthly charge in ADVANCE for the entire following month.
Don’t forget – you will also receive a pro rata included calls discount up
to the full amount of the pro rata monthly charge (provided that the calls you
made are included in the minimum monthly spend of your plan). Example of
charges and discounts on your first bill.
How is pro rata calculated?
Pro rata is calculated by working out how many days you were connected before
your first bill is issued and working out what percentage that is the
full month
This is then multiplied by the full month’s charges.
So, for example, if you connected to a $39 plan on 16/05/2006 and your fist
bill wasn’t issued until 10/06/2006, your pro rata charge would be:
Total number of days connected before first bill = 25 % of full month
(25/31 x 100) = 80.65% % of full month’s charges 80.64% x $35.45 = $28.59
Pro
rata charge is $28.59
Don’t forget, all these amounts will be displayed ex GST on your invoice,
so $39.00 inc GST = $35.45 excl GST.
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