Getting to know if you’re overpay is essential for your budget, in this post we’ll discuss the cloud budget.
The steps to understand if you’re overpaying are:
- Check your latest cloud billing.
- Compare your latest cloud billing with the previous billing reports.
- Understand what each item in the billing report does.
- Extract the revenue produced from the items from the billing report.
- Identify spikes in billing.
Check Your Latest Cloud Billing
Start by going to your cloud provider billing page and download the latest billing report.
Then print it so you can review each item and add it’s description.
Compare Your Latest Cloud Billing Report /w The Previous Billing Reports
This will give you a general overview of how much your systems are costing your company and if there is an increase in costs.
Summaries each previous months in that calendar year to get the full picture.
Understand What Each Item In The Billing Report Is
Get the billing report you printed earlier and start writing on each row what is item is for.
For example: “dev servers” are for developers working on project “new feature”.
Go over the billing report and make sure that every line is explained, Then focus on the top three most expensive items and try to understand if that can be improved.
Extract The Revenue Produced From The Items From The Billing Report.
This part is a bit tricky but possible.
Go over the revenue that your product is generating and try to connect it with the specific component that is in the billing report.
For example: Let’s say you have a SaaS that people use to chat with other people, so the main components are: Load Balancer, Main App, Databases that are all necessary for the users to use the application.
So those components are a direct generators of the revenue.
Identify Spikes In Billing.
If you check your billing report monthly then it’s easier for you to identify a spike in billing, and since you know what it item does then you know what service and component the spike is related to and fix it.
P.S.
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