CHAPTER FIVEBeing Frugal with Billing and Pricing

You've arrived at the last chapter, where we discuss the topic of billing and pricing. In this chapter, you learn about the following:

  • Types of pricing, including the free tier and on-demand, reserved, and spot instance pricing
  • Getting support and information about billing
  • Finding information about pricing
  • Alarms, alerts, and tags

By the end of this chapter, you will feel more confident about how billing works in the AWS Cloud. Let's go!

Pricing Tiers

Bills, bills, bills. What does it cost to host your workloads on AWS, and what can you expect when using these services and the bills come due? AWS bills customers based on their use of these services, with prices varying depending on the specific service and the amount you use. This section covers the various AWS payment offerings.

A cartoon illustration of two people standing at top of the mountain.

The Free Tier

Many AWS services offer a way to “try before you buy.” Bundled as the Free Tier, there are three versions: short-term free trials, 12 months of free usage, or the “always free” options that never expire and are available to all. Check out the Free Tier available in any given service to understand when you will start being charged, if ever, to use a service. And be sure to watch your Billing & Cost Management dashboard to ensure that your usage matches your expectations.

Here are a few examples of the three types of Free Tier ...

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