> ## Documentation Index
> Fetch the complete documentation index at: https://docs.withorb.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Make your first plan

> In this guide, we’ll walk you through setting up a plan in Orb to help you manage your usage-based pricing. Plans define how you structure your pricing, whether based on usage metrics, fixed pricing, or a combination of both.

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## Step 1: What Are Plans?

Plans in Orb represent a template of prices to which you’ll subscribe customers. An example set of plans might be:

* **Free Plan**: Limited features, free of charge.
* **Starter Plan**: Basic paid plan.
* **Growth Plan**: More features, higher pricing.

## Step 2: Creating a New Plan

1. **Go to the Plans Page** in Orb and click **Create Plan**.
2. **Name the Plan**: For example, you can name it “Starter.”
3. **Optional External Plan ID**: This ID can be used in the API if you need to reference the plan externally, but you can skip this for now.

## Step 3: Defining Pricing Types

In Orb, you can choose between two types of pricing models for your plan:

* **Usage-based Pricing**: Powered by billable metrics that track usage (e.g., API calls).
* **Fixed Pricing**: A flat fee charged regardless of usage.

**Usage-Based Pricing**

1. Select **Usage-Based Pricing** and choose a **Billable Metric** to track usage. In this example, we’ll use a metric that counts API calls.
2. **Billing Cycle**: Set how often customers will be charged (e.g., monthly).
3. **Optional Additions**:
   1. **Minimum Spend**: Set a minimum charge (e.g., customers must pay at least \$10 regardless of usage).
   2. **Maximum Spend**: Cap the amount a customer can be charged.
   3. **Discounts**: Add a discount by percentage, fixed amount, or usage amount.

## Step 4: Pricing Models

Orb supports several pricing models:

* **Unit Pricing**: Charge a flat rate per unit (e.g., \$1 per API call).
* **Tiered Pricing**: Charge different rates based on tiers of usage (e.g., \$0.50 per call for the first 1,000 calls, then \$1 after that).
* **Package Pricing**: Charge in increments, where partial usage of a package is considered a full package until the next one is reached.
* **Bulk Pricing**: Unlock a different rate for all units after a threshold has been reached
* **Matrix Pricing**: Set prices based on multiple factors (e.g., region and machine size).

For simplicity, we’ll choose **Unit Pricing** and set the price to **\$1 per API call**.

## Step 5: Adding a Fixed Price

If your plan also includes a fixed charge, such as a platform fee:

1. Choose **Fixed Price** and name it (e.g., “Platform Fee”).
2. Set the price (e.g., **\$10 per month**).
3. Choose whether this charge will be billed **in advance** or **in arrears**.
   1. **In advance**: The fee is charged upfront at the start of the billing cycle.
   2. **In arrears**: The fee is charged at the end of the billing cycle, along with usage charges.

## Step 6: Additional Options

* **Payment Terms**: Choose when payment is due (e.g., on issue, net 7 days, net 30 days).
* **Trial Period**: Offer a trial period where customers are charged 0% for a set number of days (e.g., the first 7 days are free).
* **Discounts, Minimum Spend, and Maximum Spent**: You can add plan-level discounts or define minimum/maximum spend limits across multiple prices.

## Step 7: Finalizing the Plan

1. **Preview**: Before creating the plan, review a preview of how it will appear.
2. **Create Plan**: Once everything is set up, click **Create** to publish the plan.

With these steps, you’ve successfully set up a pricing plan in Orb that combines usage-based and fixed pricing. This allows you to flexibly bill your customers based on how they use your service while maintaining the ability to charge fixed fees.