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clarify renewal and depletion scenarios
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articles/sentinel/billing-pre-purchase-plan.md

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Save on your Microsoft Sentinel costs when you buy a pre-purchase plan. Pre-purchase plans are commit units (CUs) bought at discounted tiers in your purchasing currency for a specific product. The more you buy, the greater the discount. Purchased CUs pay down qualifying costs in US dollars (USD). So, if Microsoft Sentinel generates a retail cost of $100, then 100 Sentinel CUs (SCUs) are consumed.
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Any eligible Microsoft Sentinel retail costs automatically deduct first from your SCUs over the course of its one year term or until they are depleted. Your pre-purchase plan SCUs start paying for your Microsoft Sentinel workspace costs without needing to redeploy or reassign the plan, and by default automatically renew to ensure you continue saving.
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Any eligible Microsoft Sentinel retail costs automatically deduct first from your SCUs over the course of its one year term or until they are depleted. Your pre-purchase plan SCUs start paying for your Microsoft Sentinel workspace costs without needing to redeploy or reassign the plan. By default, plans are configured to renew at the end of the 1 year term.
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## Prerequisites
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## Determine the right size to buy
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Pre-purchase plans pair nicely with Microsoft Sentinel commitment tiers. Once you plan your Microsoft Sentinel ingestion volume, choose an appropriate commitment tier. Then it's easier to decide on the size of a pre-purchase plan to buy. Microsoft Sentinel pre-purchase plans have a term agreement of one year.
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Pre-purchase plans pair nicely with Microsoft Sentinel commitment tiers. Once you plan your Microsoft Sentinel ingestion volume, choose an appropriate commitment tier. Then it's easier to decide on the size of a pre-purchase plan to buy. Microsoft Sentinel pre-purchase plans have a term agreement of one year. Ensure continued saving by adding SCUs if your current plans are depleted before the end of the 1 year term.
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Here's an example of the decision making and cost savings for a pre-purchase plan. If you have a commitment tier of 200 GB/day, there's an associated monthly estimated cost for both the ingestion to the workspace and the analysis for Microsoft Sentinel. For example purposes, let's say that monthly cost is $20,000 USD with simplified pricing and provides a 39% savings over the pay-as-you-go tier with the same 200 GB/day.
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## Cancellations and exchanges
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Cancel and exchange isn't supported for **Microsoft Sentinel Pre-Purchase Plans**. All purchases are final.
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Cancel and exchange operations aren't supported for **Microsoft Sentinel Pre-Purchase Plans**. All purchases are final.
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## Related content
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