Question 1

Can I meter based on token usage or inference time?

Accepted Answer

Yes, Lago supports metering based on token usage, inference time, and other AI-specific metrics. You can track and bill for various usage patterns including API calls, compute time and resource consumption.

Question 2

Do I need a usage-tracking backend to use Lago?

Accepted Answer

No, you don ' t need a separate usage-tracking backend. Lago provides built-in usage metering capabilities that can collect and aggregate usage data directly from your applications and services.

Question 3

Is Lago a payment processor?

Accepted Answer

No — Lago is not a payment processor. We handle the billing logic, usage metering, invoicing and credit systems, but we don ' t process payments directly. Instead, you can connect Lago to providers like Stripe, GoCardless, or others to collect payments, refunds, and manage failed charges. Think of Lago as the brain behind your billing — your payment provider is just the final step.

Question 4

Can I handle prepaid compute credits?

Accepted Answer

Yes, Lago supports prepaid credit systems. You can set up wallet-based billing where customers purchase credits upfront and consume them based on usage. This includes credit top-ups, balance tracking and automatic notifications.

Question 5

What if I change my pricing logic later?

Accepted Answer

Lago is designed for pricing flexibility. You can modify your pricing models, add new tiers, change billing frequencies, and update usage-based charges without disrupting existing customers. Changes can be applied to new billing cycles or grandfathered for existing users.

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Unite billing in one place

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Adapt your billing to enterprise models

Resources

Why advanced billing is so hard.

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Usage-based pricing playbook.

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Lago solves complex billing.