> For the complete documentation index, see [llms.txt](https://help.peoplevine.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.peoplevine.com/products/control-panel-overview/membership-setup-overview/setup-prorated-billing.md).

# How to Set Up Prorated Billing

### Before you begin (Prerequisites)

* **Permissions**: You must be an **Administrator**, **Supervisor**, **Manager**, **Support**, or **Account Rep**. See: [How to Manage Users and Permissions](/products/control-panel-overview/admin-overview/manage-roles-permissions.md).
* **Membership Program**: The program must already exist with a billing frequency set. See: [How to Set Up Billing for a Paid Membership](/products/control-panel-overview/membership-setup-overview/setup-paid-membership.md).
* **Billing Frequency**: Proration is useful for any billing frequency when you want all clients billing on the same calendar date — for example, the 1st of the month for monthly, Jan 1 for annual, or Jan 1 / Apr 1 / Jul 1 / Oct 1 for quarterly.

### Instructions

1. Navigate to [**MEMBERS > Manage Membership Programs**](https://control.peoplevine.com/admin_membership_list.aspx).

> **Note (Pro Dash):** Navigate to **REWARD > Manage Membership Programs**.

2. Click **EDIT** next to the target program.
3. In the **Billing** section, enable the proration toggle: **Automatically prorate their billing to the 1st of the month (or frequency)**.
4. Click **UPDATE MEMBERSHIP**.

### How proration works

When proration is enabled, the system calculates the first charge based on the selected start date. Anchor dates by frequency: **annual** = Jan 1; **quarterly** = Jan 1 / Apr 1 / Jul 1 / Oct 1; **monthly** = 1st of each month.

| Scenario                                                 | Without Proration   | With Proration                          |
| -------------------------------------------------------- | ------------------- | --------------------------------------- |
| Annual program ($1,200/yr), member enrolls July 1        | Charged full $1,200 | Charged \~$600 (6 months remaining)     |
| Quarterly program ($300/qtr), member enrolls mid-quarter | Charged full $300   | Charged \~$150 (half-quarter remaining) |
| Monthly program ($100/mo), member enrolls on the 15th    | Charged full $100   | Charged \~$50 (half-month remaining)    |

After the initial prorated charge, all subsequent billing cycles charge the full program rate.

> **Note**: Proration applies only to the first billing cycle after enrollment. Initiation fees are not prorated — they are always charged in full at the time of enrollment.

### What Happens Next

* **On the system side**: All new enrollments into this program will receive a prorated first charge. Existing members are not affected — proration only applies at the time of enrollment. The subscription record under [**SELL > View Subscriptions**](https://control.peoplevine.com/subscriptions) reflects the prorated amount for the first cycle.
* **Next step**: Test proration by enrolling a staff profile mid-cycle and verifying the calculated charge amount. See: [How to Adjust Billing for a Membership Program](/products/control-panel-overview/membership-setup-overview/configure-program-billing.md).

*Last updated: 2026-05-24*


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