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:::image type="content" source="./media/understand-billing-tenant-relationship/azure-billing-tenant-relationship.png" alt-text="Diagram that shows the relationship between a billing contract and associated tenant and subsequent subscriptions." border="false":::
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As you plan for and manage your Azure subscriptions, understand the relationship between billing and your tenant account or accounts.
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## Customer to contract
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Customer Organizations can sign multiple contracts with Microsoft. Even though it is advised to have a 1:1 relationship between Customer and Microsoft contract, Customer's can theoretically use multiple contracts at the same time.
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### Example
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We recommend that you sign only one contract with Microsoft. But in theory, you can sign multiple contracts with us at the same time.
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The best example for this scenario is during a transition period from an Enterprise Agreement (EA) to Microsoft Customer Agreement (MCA), where the customer has an active EA and an active MCA contract. During merger and acquisition (M&A) activities, a customer organization might end up with multiple EA or MCA contracts.
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For example, during a transition period from an Enterprise Agreement (EA) to Microsoft Customer Agreement (MCA), an organization can have an active EA and an active MCA contract. During merger and acquisition (M&A) activities, an organization might end up with multiple EA or MCA contracts.
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## Contract to price sheet
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Every contract is associated with a price sheet specific to a customer. This association determines the individual customer prices in the agreed billing currency. In an MCA, the default associated price sheet equals the Azure retail price list in US currency (USD). You can access the price sheet in the Azure portal.
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Every contract is associated with a customer specific price sheet. This determines the individual customer prices in the agreed billing currency. In an MCA, the default associated price sheet equals the Azure Retail price list in USD. The price sheet can be accessed in the Azure portal.
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### Microsoft Azure Consumption Commitment
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## Contract to Microsoft Azure Consumption Commitment (MACC)
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Your organization might decide to sign a Microsoft Azure Consumption Commitment (MACC). There's usually a 1:1 relationship between a contract and a MACC. As a benefit of this commitment, you might get discounted pricing on Azure resources (usage). The discount is reflected in the price sheet associated with the contract.
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Customers can sign a MACC. There is usually a 1:1 relationship between a contract and a MACC. As a benefit of this commitment, Customers might get discounted pricing on Azure Resources (usage). The discount is reflected in the price sheet associated with the contract.
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### Billing roles
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## Contract to billing roles
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Both EA and MCA provide Customers with roles, that can manage certain aspects of the contract. These roles are called billing roles. Billing roles differ from EA to MCA and are described in detail here for EA and here for MCA. A key difference between EA and MCA is, that Customers can associate any valid work, school, or Microsoft account to EA billing roles but only work accounts of an approved tenant for MCA.
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With both EA and MCA contracts, you can manage certain aspects of the contract with *billing roles*. There's a key difference between billing roles for an EA account and those for an MCA account. In an EA account, you can associate any valid work, school, or Microsoft account to EA billing roles. In an MCA account, you can associate only work accounts of an approved tenant to billing roles.
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## Contract to tenant
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To manage billing roles, customers must associate exactly one Entra ID tenant with the contract, this action must be completed at the time the contract is setup. Identities within this Tenant can be assigned to billing roles within the contract.
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To manage billing roles, you must associate exactly one Microsoft Entra ID tenant with the contract. You must complete this association at the time the contract is set up. You can then assign billing roles to identities within this tenant and contract.
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### Example
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With this association of tenant and contract, for example:
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User Dirk from the contoso.com tenant can be assigned to the EA admin role in Contoso’s EA contract.
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- In EA, a user from the contoso.com tenant can be assigned to the EA admin role in Contoso's EA contract.
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In MCA, this tenant is called the primary billing tenant. Only users from this tenant can be assigned to billing roles within the MCA contract.
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-In MCA, this tenant is called the *primary billing tenant*. Only users from this tenant can be assigned to billing roles within the MCA contract.
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⚠️ **Warning**
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The tenant global administrator role is above the billing account administrator. Global administrators in a Microsoft Entra ID tenant can add or remove themselves as billing account administrators at any time to the Microsoft Customer Agreement.
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> [!IMPORTANT]
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> In the hierarchy of roles, the tenant global administrator is above the billing account administrator. Global administrators in a Microsoft Entra ID tenant can add or remove themselves as billing account administrators at any time to the Microsoft Customer Agreement.
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If you want to assign identities from tenants other than the primary billing tenant, you can add associated billing tenants.
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ℹ️ **Information**
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Even though customers should strive for a single tenant, there is no restriction in how many tenants a customer can create within a contract.
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We recommend that you use only a single tenant, but you're not restricted from creating multiple tenants within a contract.
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## Contract to subscription
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An Azure subscription is a logical container used to provision and manage Azure resources. Resource access is managed through a trust relationship to an Entra ID tenant and billing is managed via a billing relationship to a Microsoft contract (EA or MCA). Every subscription can only have one billing relationship to one contract. This billing relationship can be moved to a different contract based on certain conditions (for example, in EA/MCA transition scenarios or M&A scenarios).
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You use your Azure subscription to provision and manage Azure resources. You get access to Azure resources because of a trust relationship to a Microsoft Entra ID tenant. You get billed according to your contract with Microsoft (EA or MCA).
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Every subscription can only have one billing relationship to one contract. This billing relationship can be moved to a different contract based on certain conditions (for example, in EA/MCA transition scenarios or M&A scenarios). Every contract can manage 5,000 subscriptions by default.
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Every contract can manage 5000 subscriptions by default.
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The billing relationship determines the prices for the consumed resources within the subscription. If you have a subscription that is associated with a contract that uses Azure retail prices, you pay the retail price. If the associated contract has customer specific prices (for example, by signing a MACC with applicable discounts), the resources within this subscription are charged at these prices.
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ℹ️ **Information**
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The billing relationship determines the prices for the consumed resources within the subscription. If you have a subscription that is associated with a contract that uses Azure retail prices you pay the retail price. If the associated contract has customer specific prices (for example, by signing a MACC with applicable discounts), the resources within this subscription are charged at these prices.
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### Subscription to tenant
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## Subscription to tenant
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Every subscription has a 1:1 trust relationship to a Microsoft Entra ID tenant. This trust relationship determines which identities can manage the resources within the subscription.
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Every subscription has a 1:1 trust relationship to an Entra ID tenant. This trust relationship determines, which identities can manage the resources within the subscription.
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### Tenant to subscription
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## Tenant to subscription
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Every tenant can manage trust relationships with an unlimited number of subscriptions. These subscriptions can use billing relationships to multiple contracts, which might lead to different prices for resources deployed to these subscriptions.
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Every tenant can manage trust relationships with virtually unlimited number of subscriptions. These subscriptions can use billing relationships to multiple contracts, which might lead to different prices for resources deployed to these subscriptions.
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## Detailed diagram
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The following diagram shows the relationship between a billing contract and associated tenant and subsequent subscriptions.
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:::image type="content" source="./media/understand-billing-tenant-relationship/azure-billing-tenant-relationship.png" alt-text="Diagram that shows the relationship between a billing contract and associated tenant and subsequent subscriptions." border="false":::
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