What is AWS Billing Conductor? - AWS Billing Conductor
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What is AWS Billing Conductor?

AWS Billing Conductor is a custom billing service for AWS Channel Partners (Partners) and organizations that have chargeback requirements. For Partners, chargebacks are a prerequisite to getting paid by their customers. For direct customers, showback or, chargeback activities ensure that the business allocates the costs of a specific team, business unit, subsidiary or affiliate company, to the correct internal budget or profit and loss (P&L) statement.

To achieve these activities, Billing Conductor enables users to create a second version of their costs to share with their customers or account owners. The second version of cloud cost data comes from your Billing Conductor configuration (pricing plans, pricing rules, and custom line items).

Pro forma data exists in a separate domain (pro forma) from your billable cost data (standard billable). While billable cost data uses AWS-determined pricing, pro forma data is accessible through billing views.

Note

Customers will observe cost differences between billable costs (matching the AWS invoice) and pro forma costs (matching the Billing Conductor configuration) throughout the month. However, usage values will match at the end of each month, once the AWS invoice is issued.

Defining pro forma costs enables customers to model their costs uniformly to match one of the following use cases:

  1. Customer agreements, which can be a Partner use case negotiated outside of AWS

  2. Internal accounting practices, often an organization-specific use case

Billing Conductor configurations don't affect customers' existing invoices from AWS or billing configurations (for example, sharing of credits or commitment-based discounts like Reserved Instances or Savings Plans).

  • Analyze margins (the difference between pro forma costs and billable costs for the same set of accounts) within Billing Conductor

Billing Conductor managed accounts and AWS Organizations can analyze pro forma costs in AWS Cost Explorer, Cost and Usage Reports, the Billing dashboard, and the billing details page. Managed accounts and AWS Organizations in billing groups can create budgets to monitor their pro forma spend and receive alerts when they exceed, or are forecasted to exceed, their desired pro forma spending limit.

You can configure billing groups, pricing plans, pricing rules, and custom line items in the Billing Conductor console or by using the Billing Conductor API.

For more information about AWS Billing Conductor service quotas, see Quotas and restrictions.

Sign up for an AWS account

To get started with AWS, you need an AWS account. There are two ways to sign up for AWS. If you want complete control over account configuration and where your content is stored, or if you have regulated workloads such as HIPAA or FedRAMP, use Sign up for AWS (advanced). If you are a new user and want to use a login you already own to sign in to AWS and create an AWS environment with preconfigured defaults in select AWS Regions, use Sign up for AWS.

Features in AWS Billing Conductor

You can use the AWS Billing Conductor features to do the following:

Group accounts in standard billing groups

Organize accounts into Billing Conductor billing groups to view aggregated pro forma costs that model your AWS Organizations structure to reflect your business financial organization.

Custom pricing

Set global or specific markups or discounts, and control Free Tier access.

Charges and credits

Add one-time or recurring flat or percentage-based charges or credits to billing groups.

Pro forma analysis

Analyze costs based on pricing configurations in the Billing console. Accounts and AWS Organizations in your billing groups can visualize, forecast, and create custom reports of their pro forma costs in AWS Cost Explorer. Accounts and AWS Organizations in the billing groups can view Reservation and Savings Plans coverage and utilization reports that reflects their pro forma costs. When using Billing Conductor as a standalone service, you designate a primary account for each billing group. This primary account has a cross-account view of all costs accrued by accounts in the billing group, while non-primary accounts see only their own costs.

Reporting

Configure Cost and Usage Reports for each billing group.

Rate analysis

Compare the applied rates to actual AWS rates with the billing group margin report.

Budget

Accounts and AWS Organizations in billing groups can create budgets to monitor their pro forma spend and be alerted when they exceed, or they are forecasted to exceed, their desired pro forma spending limit.

Email Notification

You may receive email notifications when your AWS Billing Conductor configurations change. For example, when the primary account leaves AWS Organizations, or when a new linked account joins AWS Organizations and is automatically associated to a billing group.

Pricing for AWS Billing Conductor

For more information about pricing, see AWS Billing Conductor Pricing.

AWS Billing

The AWS Billing is the portal for all AWS customers, from students and startup companies to large enterprises. You can use the console to see the resources that are running in your AWS accounts, manage billing preferences, and access billing artifacts that are needed to make payments to AWS. The AWS Billing console also provides a high-level explanation of the spending for your account, and serves as the entry point for enrolling in products in the AWS Cost Management products.

For more information, see the AWS Billing User Guide.

AWS Cost Explorer

You can use the Cost Explorer interface to visualize, understand, and manage your AWS costs and usage over time. Get started quickly by creating custom reports that analyze cost and usage data. Analyze your data at a high level (for example, total costs and usage across all accounts), or dive deeper into your cost and usage data to identify trends, pinpoint cost drivers, and detect anomalies.

For more information, see the following topics:

AWS Cost and Usage Reports

The AWS Cost and Usage Reports (AWS CUR) contain the most comprehensive set of cost and usage data available. You can use Cost and Usage Reports to publish your AWS billing reports to an Amazon Simple Storage Service (Amazon S3) bucket that you own. You can receive reports that break down your costs by the hour or day, by product or product resource, or by tags that you define yourself.

AWS updates the report in your bucket once a day in comma-separated values (CSV) or Apache Parquet format. You can view the reports using spreadsheet software such as Microsoft Excel or Apache OpenOffice Calc. You can also access them from an application using the Amazon S3 or Amazon Athena APIs.

AWS Cost and Usage Reports track your AWS usage and provide estimated charges associated with your account. Each report contains line items for each unique combination of AWS products, usage type, and operation that you use in your AWS account.

AWS Identity and Access Management (IAM)

The AWS Billing Conductor service is integrated with AWS Identity and Access Management (IAM). You can use IAM with AWS Billing Conductor to ensure that other people who work in your account have only as much access as they need to get their job done.

You also use IAM to control access to all of your AWS resources. This includes but is not limited to your billing information. It's important that you familiarize yourself with the basic concepts and best practices of IAM before you get too far along with setting up the structure of your AWS account.

For more information about how to work with IAM, see What Is IAM? and Security Best Practices in IAM in the IAM User Guide.

AWS Organizations (Consolidated billing)

AWS products and services can accommodate every size of company, from small startups to enterprises. If your company is large or likely to grow, you might want to set up multiple AWS accounts that reflect your company's structure. For example, you can have one account for the entire company and accounts for each employee, or an account for the entire company with IAM users for each employee. You can have an account for the entire company, accounts for each department or team within the company, and accounts for each employee.

If you create multiple accounts, you can use the consolidated billing feature of AWS Organizations to combine all your member accounts under one management account and receive a single bill. For more information, see Consolidated billing for Organizations in the AWS Billing User Guide.

Billing views

A billing view helps you manage and control access to cost management data within your AWS environment. With billing views, cost management data is represented as an AWS resource. Through resource-based policies, you can configure what data is accessible to an account when using AWS Billing and Cost Management tools.

Each billing view is identified by a unique Amazon Resource Name (ARN), which you can reference in identity-based policies to perform specific IAM actions on the cost management data contained in that billing view.

For more information, see Controlling cost management data access with Billing View.