# Understanding prorated charges when upgrading or changing billing cycle

> When you upgrade your hosting plan mid-term, we charge only for the remaining days on your current cycle, not the full period.

Source: https://www.kualo.com/knowledgebase/billing-payments/understanding-prorated-charges-when-upgrading-or-changing-billing-cycle
Updated: 2026-06-08

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When you change your hosting plan, we calculate any additional charge or credit based on the time remaining in your current billing period. This article explains exactly how that works for upgrades and downgrades.

## How upgrades are calculated

If you upgrade to a higher plan before your current billing period ends, the upgrade takes effect immediately. We do not charge you for the full new plan price from the start of your cycle. Instead, we work out a prorated amount based on the number of days remaining.

Here is how the calculation works:

1. We calculate the daily rate for both your current plan and your new plan.
2. We credit the unused portion of your current plan back against your account.
3. We charge the daily rate of the new plan for the remaining days in the cycle.
4. You pay only the difference between the two.

For example, if you are halfway through a monthly billing period and upgrade to a plan that costs more per month, you will be charged roughly half the price difference for that month. Your next renewal invoice will then be at the full new plan price.

:::info
Upgrades happen immediately. Your new plan limits, resources, and features are available as soon as the prorated payment is processed.
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## How downgrades are calculated

Downgrades work differently depending on whether you are on a month-to-month plan or a prepaid (annual or longer) plan.

**Month-to-month plans**

If you are billed monthly, your plan will be downgraded when you request it. We do not issue a partial refund for the remainder of the current month, as the month has already been invoiced and paid.

**Prepaid plans (annual or longer)**

If you have paid upfront for a longer billing cycle, we can apply a manual credit for the difference between your current plan and the lower plan, based on the number of whole months remaining. Partial months are not credited.

To request a downgrade on a prepaid plan, please [contact our support team](https://www.kualo.com/knowledgebase/getting-started/how-to-create-a-support-ticket-in-mykualo). We will calculate the credit and apply it to your account.

:::tip
If you are considering a downgrade and are unsure how much credit you would receive, get in touch before making any changes and we can give you a clear figure first.
:::

## Changing your billing cycle

If you want to switch from monthly billing to an annual or longer cycle (or vice versa), the same prorated logic applies. Switching to a longer cycle mid-term will generate a prorated charge for the remainder of the current period at the new cycle's rate. You can read more about how our billing cycles work and the savings available in our article on [understanding Kualo's billing cycles for hosting](/knowledgebase/billing-account/understanding-kualo-s-billing-cycles-for-hosting).

## How to request a change

Upgrades can be requested directly from the [Kualo Client Area](https://my.kualo.com). Downgrades must be handled by our team, so please [raise a support ticket](/knowledgebase/getting-started/how-to-create-a-support-ticket-in-mykualo) and we will take care of it for you. You can also find a broader overview of the upgrade, downgrade, and cancellation process in our article on [making changes to your service](/knowledgebase/billing-account/need-to-make-changes-to-your-service-upgrades-downgrades-and-cancellations).

If you have any questions about a specific invoice or a charge you do not recognise, our support team is available around the clock.

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_Source: Kualo Knowledgebase — https://www.kualo.com/knowledgebase/billing-payments/understanding-prorated-charges-when-upgrading-or-changing-billing-cycle · © Kualo Ltd._