When to use it
- Closing the month and reporting revenue to finance or investors.
- Reconciling earned revenue against your general ledger.
- Seeing which days or revenue types drove the period.
Who uses it
Finance, RevOps, and founders reporting period revenue.Main fields
How the numbers are calculated
For time-based charges, Lago spreads the amount daily across the service period and sums the days in your reporting period. For usage, it recognizes each day’s consumption. Point-in-time events (true-ups, credit notes, disputes) land on the day they occur. Everything is pre-tax. The methodology is covered in How it works: Methodology.How to read positive and negative values
- Positive amounts are revenue earned: subscriptions recognized daily, usage consumed, true-ups.
- Negative amounts are contra-revenue: credit notes, voids, coupons, lost disputes, consumed free credits. They reduce the period’s revenue in the period they occur, and never restate earlier closed periods.
Example
A customer with a $50 monthly subscription billed in advance, plus $50 of usage, with a $30 credit note issued mid-month.Relationship to other reports
- The flip side is the Deferred Revenue report: what you’ve invoiced but not yet earned.
- The Revenue Waterfall shows how invoices release into this report across months.
- The Journal Entry Details itemizes every line behind the total.
Limitations to keep in mind
- Recognized revenue is pre-tax. Reconcile against pre-tax invoice amounts.
- Usage-based figures finalize when invoices are issued.
- Periods before the feature was enabled aren’t reconstructed.