---
id: video/jJxBswIy_Xw
type: video
title: "What's New: Subscription Billing (2024 release wave 2)"
summary: "Subscription Billing module in Business Central (2024 release wave 2): contracts, service commitments, billing proposals, deferrals and usage-based billing, shown in a demo. It also notes that Excel reports and a Power BI embedded app are planned for minor release 25.2."
tier: official
language: en
tags:
  - subscription billing
  - recurring invoicing
  - service commitments
  - deferrals
  - revenue recognition
  - contracts
  - billing proposals
  - pricing
  - automation
  - usage-based billing
  - contract management
  - data import
system: sales
review:
  state: reviewed
  by: opus
  at: "2026-10-07T23:04:15.767Z"
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    quote: later on in the minor release I think it's 25.2 we will have a popi app which means we will have embedded reporting for
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    quote: we have added a new module um for subscription and for subscription handling for recurring invoicing
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    quote: there's a concept of contracts which you would normally expect when you have uh a subscription you have a contract for what it is
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    quote: you can generate uh billing proposals uh or schedules uh once you have a contract once you have a setup uh you can get
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    quote: feed that data into the individual invoices for the recurring billing and this is what usage based billing can do
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    quote: it's a new module there are some new terminology uh but it supports uh recurring billing for uh Services you can start from an
links:
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video_id: jJxBswIy_Xw
channel: yt-microsoft
source_name: Microsoft Dynamics 365 Business Central (YouTube)
url: https://www.youtube.com/watch?v=jJxBswIy_Xw
published_at: "2024-10-08T15:00:51.000Z"
duration_s: 1544
captions: full
audience:
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  - administrator
  - decision maker
chapters:
  - t: 0
    title: Introduction to Subscription Billing Module
  - t: 120
    title: "Key Concepts: Deferrals, Pricing, and Automation"
  - t: 201
    title: Demo Overview and Sales Order Setup
  - t: 250
    title: Hardware and Maintenance Service Configuration
  - t: 323
    title: Service Commitments and Order Confirmation
  - t: 443
    title: Contract Creation and Assignment
  - t: 525
    title: Billing Proposal Generation and Invoice Creation
  - t: 623
    title: Deferral Entries and Revenue Recognition
  - t: 737
    title: Deferral Release and Sales Process Workflow
  - t: 972
    title: Extending Contracts and Creating Billing Proposals
  - t: 1086
    title: Reporting and Usage-Based Billing Overview
  - t: 1147
    title: "Usage-Based Billing: Data Import and Invoice Creation"
  - t: 1301
    title: Usage Data Mapping and Contract Workflows
features:
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    status: unclear
    t: 6
    verified: false
    status_source: video
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    t: 45
    verified: false
    status_source: video
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  - name: Automatic Contract Mapping for Usage Data
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objects_mentioned:
  - table Customer Contract Deferrals
  - page Contract Deferral Release
quotes:
  - t: 24
    text: we have added a new module um for subscription and for subscription handling for recurring invoicing
    check: exact
  - t: 45
    text: there's a concept of contracts which you would normally expect when you have uh a subscription you have a contract for what it is
    check: exact
  - t: 85
    text: you can generate uh billing proposals uh or schedules uh once you have a contract once you have a setup uh you can get
    check: exact
  - t: 141
    text: but you in your accounting system you only recognize the the revenue for the individual periods so there is a deferrals um system for
    check: exact
  - t: 181
    text: later on in the minor release I think it's 25.2 we will have a popi app which means we will have embedded reporting for
    check: exact
  - t: 359
    text: the billing uh base period is 12 months so it's annual and the billing rhythm is also uh annual which makes uh sense of
    check: exact
  - t: 663
    text: they're here and um they're ready to be released is a field whether they are released or not whether they have been moved to
    check: exact
  - t: 868
    text: when you post the invoice because it's an annual uh subscription uh deferral entries are created and you can then release them
    check: exact
  - t: 925
    text: you cannot just add any random uh line to a contract you can only add uh service commitments like things that we can uh
    check: exact
  - t: 1086
    text: in the 25.2 minor we will provide Excel reports so you can get your data out and do analysis and you'll also uh see
    check: exact
  - t: 1127
    text: the data for the individual invoices are based uh off of some external data um usually what the End customer assumes it could be
    check: exact
  - t: 1147
    text: feed that data into the individual invoices for the recurring billing and this is what usage based billing can do
    check: exact
  - t: 1335
    text: because I process data without having having a contract already uh the system will give me an error and I can just click on
    check: exact
  - t: 1478
    text: it's a new module there are some new terminology uh but it supports uh recurring billing for uh Services you can start from an
    check: exact
---

# What's New: Subscription Billing (2024 release wave 2)

> Subscription Billing module in Business Central (2024 release wave 2): contracts, service commitments, billing proposals, deferrals and usage-based billing, shown in a demo. It also notes that Excel reports and a Power BI embedded app are planned for minor release 25.2.

[Watch on YouTube](https://www.youtube.com/watch?v=jJxBswIy_Xw) · Microsoft Dynamics 365 Business Central (YouTube) · 2024-10-08 · 25:44 · tier official · reviewed (checked by Opus)

## Overview

The video introduces the new Subscription Billing module for recurring invoicing. It explains the new concepts (contracts, service commitments, billing proposals, deferrals) and walks through a demo: a sales order with hardware and maintenance services, order confirmation, contract creation and assignment, billing proposal and invoice creation, and deferral entries and their release.

The second half covers extending a contract with service commitments, reporting, and usage-based billing. The usage-based part shows importing external usage data, processing it into billing data and invoices, and mapping it to contracts. Excel reports and a Power BI embedded app are mentioned as coming in minor release 25.2.

## Key points

- Contracts hold service commitments that define what is invoiced (tickets, minutes, usage or recurring services). Commitments must be assigned to a contract before billing.
- Billing proposals can be generated once a contract is set up. They can cover the next invoice, several invoices or an extended period, and can be filtered by contract and period.
- The demo contract uses a 12-month billing base period and an annual billing rhythm.
- Posting an annual invoice creates deferral entries automatically. A batch job releases them by date range to move revenue to GL accounts.
- Only service commitments that support recurring billing can be added to an existing contract. Arbitrary lines cannot be added.
- Usage-based billing imports external usage data from a file. It needs a data supplier and item references set up first, and processing can run step by step or as a batch.
- If usage data is processed without a matching contract, the system gives an error. From there the user can create or extend a contract.

## Chapters

- [0:00](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=0s) Introduction to Subscription Billing Module
- [2:00](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=120s) Key Concepts: Deferrals, Pricing, and Automation
- [3:21](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=201s) Demo Overview and Sales Order Setup
- [4:10](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=250s) Hardware and Maintenance Service Configuration
- [5:23](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=323s) Service Commitments and Order Confirmation
- [7:23](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=443s) Contract Creation and Assignment
- [8:45](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=525s) Billing Proposal Generation and Invoice Creation
- [10:23](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=623s) Deferral Entries and Revenue Recognition
- [12:17](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=737s) Deferral Release and Sales Process Workflow
- [16:12](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=972s) Extending Contracts and Creating Billing Proposals
- [18:06](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1086s) Reporting and Usage-Based Billing Overview
- [19:07](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1147s) Usage-Based Billing: Data Import and Invoice Creation
- [21:41](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1301s) Usage Data Mapping and Contract Workflows

## Features

| Feature | Status | At | Evidence |
|---|---|---|---|
| Subscription and Recurring Billing Module | status not stated, demoed | [0:06](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=6s) |  |
| Contracts and Service Commitments | status not stated, demoed | [0:45](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=45s) |  |
| Billing Proposals and Schedules | status not stated, demoed | [1:25](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=85s) |  |
| Deferrals System | status not stated, demoed | [2:21](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=141s) |  |
| Contract Price Management | status not stated, demoed | [3:01](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=181s) |  |
| Contract Renewals | status not stated | [3:01](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=181s) |  |
| Power BI Embedded Reporting | announced | [3:01](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=181s) | "later on in the minor release I think it's 25.2 we will have a popi app which means we will have embedded reporting for" ([3:01](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=181s)) |
| Excel Reports for Subscription Billing | status not stated | [3:01](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=181s) |  |
| Service Commitment Price Calculation | status not stated, demoed | [5:23](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=323s) |  |
| Billing Base Period and Rhythm Configuration | status not stated, demoed | [5:23](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=323s) |  |
| Subscription Order Confirmation Layout | status not stated, demoed | [6:40](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=400s) |  |
| Deferral Release Batch Job | status not stated, demoed | [12:17](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=737s) |  |
| Contract Extension with Service Commitments | status not stated, demoed | [14:48](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=888s) |  |
| Usage-Based Billing Data Import | status not stated, demoed | [19:07](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1147s) |  |
| Usage Data Processing and Invoice Creation | status not stated, demoed | [20:06](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1206s) |  |
| Automatic Contract Mapping for Usage Data | status not stated, demoed | [21:41](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1301s) |  |

## AL objects mentioned

As heard in the captions. A name that matches one object page by exact type and name links to it; the others stay as named.

- table "Customer Contract Deferrals" at [10:43](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=643s)
- page "Contract Deferral Release" at [12:37](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=757s)

Not found in BC28-30: table "Customer Contract Deferrals", page "Contract Deferral Release".

## Quotes

- [0:24](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=24s) "we have added a new module um for subscription and for subscription handling for recurring invoicing"
- [0:45](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=45s) "there's a concept of contracts which you would normally expect when you have uh a subscription you have a contract for what it is"
- [1:25](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=85s) "you can generate uh billing proposals uh or schedules uh once you have a contract once you have a setup uh you can get"
- [2:21](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=141s) "but you in your accounting system you only recognize the the revenue for the individual periods so there is a deferrals um system for"
- [3:01](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=181s) "later on in the minor release I think it's 25.2 we will have a popi app which means we will have embedded reporting for"
- [5:59](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=359s) "the billing uh base period is 12 months so it's annual and the billing rhythm is also uh annual which makes uh sense of"
- [11:03](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=663s) "they're here and um they're ready to be released is a field whether they are released or not whether they have been moved to"
- [14:28](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=868s) "when you post the invoice because it's an annual uh subscription uh deferral entries are created and you can then release them"
- [15:25](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=925s) "you cannot just add any random uh line to a contract you can only add uh service commitments like things that we can uh"
- [18:06](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1086s) "in the 25.2 minor we will provide Excel reports so you can get your data out and do analysis and you'll also uh see"
- [18:47](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1127s) "the data for the individual invoices are based uh off of some external data um usually what the End customer assumes it could be"
- [19:07](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1147s) "feed that data into the individual invoices for the recurring billing and this is what usage based billing can do"
- [22:15](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1335s) "because I process data without having having a contract already uh the system will give me an error and I can just click on"
- [24:38](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1478s) "it's a new module there are some new terminology uh but it supports uh recurring billing for uh Services you can start from an"

## Disclaimers in the video

- [3:01](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=181s) coming-later: later on in the minor release I think it's 25.2 we will have a popi app which means we will have embedded reporting for the subscription billing module
- [18:26](https://www.youtube.com/watch?v=jJxBswIy_Xw&t=1106s) coming-later: in the 25.2 minor we will provide Excel reports and powerbi embed app

Presenters (as heard): Brian Nelson.
