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Bill your customers in their timezone, not yours

Blog post from Lago

Post Details
Company
Date Published
Author
Finn Lobsien
Word Count
403
Language
English
Hacker News Points
-
Summary

Timezones play a critical role in billing practices as discrepancies can arise when the billing timezone differs between the service provider and the customer, leading to potential misunderstandings in billing periods and charges. For example, a company in Paris billing a customer in San Francisco may encounter discrepancies due to the time difference, where an activity timestamped in February in Paris's timezone may still fall in January for the customer in San Francisco. To mitigate such issues, it is recommended to use a system-wide UTC for all billing-related timestamps, ensuring neutrality and consistency. Lago, a billing platform, defaults to using UTC to standardize billing cycles and features like prepaid credits or coupon expirations. However, Lago allows flexibility by enabling companies to set their own organization's timezone and override it for specific customers, thereby ensuring that both the organization and customers can understand billing periods in their respective timezones, making the billing process more transparent and agreeable for all parties involved.