- Metering and usage billing tools at a glance
- Ten usage based billing tools for metered plans
- Two big usage billing names now belong to bigger companies
- Metering, rating and invoicing: which part you need
- Questions to ask a usage billing vendor
- My plain advice on usage based billing
- Frequently asked questions
Usage based billing software meters what each customer consumes, such as API calls, tokens, credits or seats plus overage, then rates that usage against the plan and turns it into invoices. Pick by whether you need metering alone, full billing, or quote-to-revenue for sales-led contracts. Ten tools follow in no particular order.
Metered billing breaks most subscription tools. They were built for one flat charge per period, so the moment you bill per API call, per token or per credit, someone ends up exporting usage to a spreadsheet at month end. Usage based billing software takes in usage events as they happen, totals them per customer and turns them into accurate invoices.
This list covers metered and hybrid models only. The ten tools below are listed alphabetically and in no particular order, and every description comes from each vendor's own website, read as of Oct 2026. If you bill a flat subscription, my rundown of subscription billing software features is the better place to start.
Metering and usage billing tools at a glance
I checked the free plan column on each vendor's own website, as of Oct 2026. Yes means the page names a free plan, a free version or an open source edition. Trial only means it names a time-limited free trial. Not stated means the page I read named neither, so check the vendor's own site before you sign up.
| Tool | Type | Good for | Free plan |
|---|---|---|---|
| Alguna | Quote-to-revenue platform | Contracts, usage and invoices on one record | Not stated |
| Chargebee | Billing and monetisation | Usage, subscription and hybrid models together | Trial only |
| Flexprice | Open source monetisation | Usage and credit models for AI products | Yes |
| Lago | Open source usage billing | Real-time metering with self-hosting | Yes |
| m3ter | Usage billing (Salesforce) | Rating usage on top of CRM and ERP | Not stated |
| Metronome | Usage billing (Stripe) | Real-time metering, billing and reporting | Not stated |
| Orb | Revenue design platform | Granular metering with backdating | Not stated |
| Schematic | Credits and metering ledger | Prepaid credits and in-product limits | Not stated |
| Solvimon | AI billing and monetisation | Metering through to revenue recognition | Not stated |
| Stigg | Usage runtime for AI products | Entitlements and usage limits via API | Not stated |
Ten usage based billing tools for metered plans
Alguna
Best for: Finance teams running quotes, usage metering, invoicing and revenue recognition on one record that sits between their CRM, ERP and payment processor.
Chargebee
Best for: SaaS and AI companies wanting usage, subscription and hybrid billing in one tool, with real-time limits and revenue recognition across contracts.
Flexprice
Best for: AI-native and SaaS teams running usage, credit and hybrid models with real-time metering, with an open source option beside the hosted product.
Lago
Best for: Engineering teams that would rather not build billing from scratch, metering usage in real time through an open source billing project.
m3ter
Best for: Companies whose CRM and ERP were designed for subscriptions, not usage, adding specialist rating and automated billing on top.
Metronome
Best for: Product, GTM and finance teams wanting real-time metering, billing and reporting in one platform, from product-led self-serve to sales-led contracts.
Orb
Best for: First usage-based launches and sales-led contracts, with granular metering plus the ability to backdate and backfill changes.
Schematic
Best for: Products selling usage as prepaid credits, with metering, real-time limits and entitlements enforced by company, user or agent.
Solvimon
Best for: AI-native startups that want metering, usage billing, payment collection and revenue recognition from one system as they grow.
Stigg
Best for: AI products needing real-time access checks, usage limits and auditable credits, with event aggregation in its cloud or yours.
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Two big usage billing names now belong to bigger companies
Here's what changed. When I opened the vendor pages, the Metronome home page led with a banner saying it's now part of Stripe, and the m3ter page said it's now part of Salesforce. So two of the best-known specialists sit inside a payments company and a CRM vendor. That isn't bad news, and if you already run on Stripe or Salesforce it may be good news, but ask how the product will fit its new parent before you sign a long contract.
The newer entrants tell you who they're built for. Several lead with AI products, prepaid credits and real-time usage limits rather than invoices, because an AI company needs to stop usage the moment a customer's credits run out, not send a surprise bill later.
Metering, rating and invoicing: which part you need
- Metering. Taking in usage events and counting each one once. If you only need limits and entitlements inside your product, a metering and credits layer may be enough.
- Rating. Applying your plan rules to that usage: tiers, minimums, included allowances, overage and discounts on negotiated contracts.
- Invoicing and revenue. Turning rated usage into invoices, collecting payment and recognising revenue. Sales-led companies with custom contracts usually need this end to end.
Questions to ask a usage billing vendor
- Can it take in events in real time, and what happens to late or duplicate events?
- Can you backdate and backfill a change without reissuing every invoice by hand?
- Does it handle prepaid credits, top-ups and hard limits, or only bill after the fact?
- Which CRM, ERP and payment tools does it connect to, and in which direction?
- Can finance get usage reports without asking engineering?
That last one matters more than it looks. Usage data has to land cleanly in the books, so check the vendor connects to your accounting software before you migrate anything.
Do you make usage based billing software? Tool makers can ask to be considered for a featured place on this list.
My plain advice on usage based billing
Map your plan model before you look at any demo. Write down every unit you charge for, how it's counted, what's included and what happens at the limit. Then feed each shortlisted tool a month of real usage events and compare its invoices with what you'd have billed by hand.
If you're an early AI product, a credits and metering layer may cover you for a while. If you sell annual contracts with custom terms, look at the tools that run the whole path from quote to cash, because stitching that together later hurts.
Want your tool on this list? Featured spots and reviews here are paid partnerships. Here's how to partner with me.
Frequently asked questions
What is usage based billing?
It's charging customers for what they use, such as API calls, tokens, messages or compute, instead of, or on top of, a fixed subscription.
What's the difference between usage based and recurring billing?
Recurring billing charges the same amount each period. Usage based billing meters consumption and rates it, so every invoice can differ. Hybrid models combine a base subscription with usage on top.
Is there open source usage based billing software?
Yes. Two tools on this list name an open source project on their own site, shown in the free plan column. You host those yourself.
What are AI credits in billing?
They're prepaid units a customer buys and then spends as they use an AI product. Billing tools track the balance in real time, send alerts and can top up automatically.
Do I need a separate metering tool?
Not if your billing tool takes in usage events reliably. Teams add a dedicated metering and entitlements layer when they need to enforce limits inside the product in real time.
