Proration handles the awkward first payment on a monthly membership that bills on the first of the month. Athletes sign up on any day, so the first invoice and the first batch of credits need to cover only the part of the month that is left. Kilo works that out for you: turn proration on when you build the package, and decide per athlete whether to use it when you apply the package.
Watch the video below for a walkthrough, or read on for the full guide.
What you can do with proration
Prorate the first invoice so athletes pay only for the part of the month they get
Prorate the first batch of credits to match
Start normal monthly billing on the first of the following month
Adjust the prorated credit count for an individual athlete
Turn proration off for a particular athlete without changing the package
Build a package that allows proration
Proration is a setting on the package, and it changes what the package can be.
Build a Time-based Package as usual.
Set Proration to On.
Set the number of sessions the athlete gets each month.
Add your billing plan in the Billing panel and enter your normal monthly amount.
Save the package.
Two things change when you turn proration on.
The package is locked to a monthly cycle. With proration off, you can set the package length in days, weeks, months, or years. With it on, monthly is the only option, because proration exists to solve the first-of-the-month billing problem specifically.
You do not have to do anything special to the billing plan. Enter the normal monthly price. Kilo calculates the prorated first amount when the package is applied.
Proration is not supported on follow-up packages. If a package rolls into a different one when it finishes, the follow-up will not prorate.
Apply a prorated package to an athlete
When you add a prorated package to an athlete, you decide whether this particular athlete gets the prorated treatment.
Open the athlete's profile and add the package.
Select the billing plan.
Leave the proration toggle on to prorate the first payment, or turn it off to charge in full.
Review the payment schedule, which updates to show the prorated first installment.
Set the remaining details and save.
With proration on, the athlete is invoiced a partial amount covering the rest of the current month, gets a partial batch of credits to match, and moves onto normal monthly billing on the first.
With proration off, the athlete pays the full monthly amount and bills on their sign-up date every month after that.
The package's first term ends on the first of the following month, which is where the regular monthly cycle picks up.
Adjust the prorated credits
Kilo prorates credits in proportion to how much of the month is left, which is a reasonable default and not always the answer you want. A 12-session monthly membership sold a little past the halfway point of the month will dispense 7 credits.
To change it:
Open the athlete's package.
Click the dispensation date for the prorated period.
Enter the number of credits you want the athlete to have.
Save.
[IMAGE: Editing the credit count on a prorated dispensation]
Only the prorated period changes. Every month after that dispenses the package's full credit count on the first, and bills the full monthly amount.
Frequently asked questions
Why can't I choose weeks or days for the package length?
Turning proration on locks the package to a monthly cycle. Proration exists for memberships that bill on the first of the month, so the monthly cycle is the assumption the whole feature is built on. Turn proration off if you need a package measured in days, weeks, or years.
Do I need to create a separate prorated billing plan?
No. Enter your normal monthly price and Kilo works out the prorated amount. The proration happens when the package is applied to an athlete, not when the billing plan is built.
Can I turn proration off for one athlete?
Yes. The toggle appears when you apply the package. Turn it off and that athlete pays in full and bills on their sign-up date each month, while everyone else on the package still prorates.
How many credits does an athlete get in their first month?
A share of the monthly total, in proportion to how much of the month is left. A 12-session monthly membership sold just past mid-month gives 7 credits. You can change that number on the dispensation if you would rather be more generous.
Does the prorated credit change affect future months?
No. Only the prorated period is affected. Every month after the first dispenses the full credit count on the first of the month.
Can I use proration with a follow-up package?
No. Proration is not supported on follow-up packages.
Does proration work on credit-based packages?
No. Proration is a time-based setting only. Credit-based packages have no time component, so there is no partial period to prorate.
Helpful tips
Put proration in the package name if you keep both prorated and non-prorated versions of the same membership. It saves the front desk from opening each one to check.
Enter the full monthly price on the billing plan. Discounting it to account for the short first month double-counts the proration.
Review the prorated credit count before saving. The proportional default is fair but not always what you promised the athlete.
Check the payment schedule preview. It shows the prorated first amount, which is the fastest confirmation that proration actually applied.
Use proration when your billing runs on the first of the month. If your memberships bill on the athlete's anniversary date, you do not need it.
If you have questions about proration in Kilo GMS, our Support team is happy to help. Reach us at hello@usekilo.com.