How is the pricing benefit of a Reserved Instance applied in an organization's consolidated billing family?

The way that Reserved Instance discounts apply to accounts in an organization's consolidated billing family depends on whether Reserved Instance sharing is turned on or off for the account. By default, Reserved Instance sharing for all accounts in an organization is turned on. You can change this setting by Turning Off Reserved Instance Sharing for an account.

If Reserved Instance sharing is turned on for an account in an organization:

  • The discount for any Reserved Instances purchased on that account is applied to the combined usage for that instance type on the master payer account's bill.
  • The account that originally purchased the Reserved Instance receives the billing benefit first. If the purchasing account doesn't have any instances that match the terms of the Reserved Instance, the billing benefit for the Reserved Instance is assigned to any matching usage on another account in the organization.
  • At least one account in the organization's consolidated billing family must be running an instance that matches the specifications of the Reserved Instance for the discount to apply to the master payer account's bill.
  • For informational purposes, a line item for the blended rate for that instance type appears on the bill of any account in an organization that is running an instance that matches the terms of each Reserved Instance.

If Reserved Instance sharing is turned off for an account in an organization:

  • Only discounts for Reserved Instances purchased on that account apply to the bill for that account. Reserved Instance discounts from other accounts in the organization's consolidated billing family are not applied to usage for that account.
  • The charges accrued on that account are still added to the organization's consolidated bill and are paid by the master payer account.

The capacity reservation for a Reserved Instance only applies to the account the Reserved Instance was purchased on, regardless of whether Reserved Instance sharing is turned on or off.


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Published: 2016-04-08

Updated: 2018-01-30