Annual or Monthly: The Best Billing Cycle for Your Web Space

Depending on which company and package you choose to set up your web space on, you’ll have to make a decision between annual and monthly billing cycles. There are disadvantages and advantages to each type of plan. Here, we’ll take a look at the best—and worst—points of each.

Annual Billing

Disadvantages

In an annual billing cycle, you pay up-front for an entire year’s worth of web space services. These services may include each feature on your site. In other instances, you might pay for a year’s worth of basic service, then add on individual features later at an additional cost.

Some companies make an annual package look extremely attractive by piling on additional website features. However, take a good look at each of those features, and determine which ones you’ll actually use before making your purchase. In many cases, these extras are a great value. Sometimes, however, they simply float around, unused.

Annual billing’s biggest disadvantage is its lack of flexibility. One-time billing sometimes means that you’re stuck with the service for an entire year—or at least stuck paying for it. This is often a sign of a less-than-reputable hosting service, and can easily be avoided by checking out our top picks. The best hosting services often offer money-back guarantees on annual packages, allowing you to check out the features and benefits without the risk.

Advantages

The biggest advantage of annual billing is cost. In nearly every case, the bundled price of a year’s worth of web space services is lower than paying month-to-month. If you are extremely familiar with the company and package, annual billing can be a great way to save money. Another advantage is the convenience of making a one-time payment and not having to worry about it for the rest of the year.

Be absolutely certain that a package is right for you before you make a purchasing decision. In addition, try to seek out companies with reasonable fees or penalties for early cancellation. These simple tactics will avoid feeling stuck, and can provide you with an extra layer of flexibility should your web space needs change.

Monthly Billing

Disadvantages

In nearly every instance, paying for your web space services on a monthly basis will cost you more money. Service companies want to retain your business, and offering annual packages at discounted rates is a great way to accomplish this goal. While this is the only major disadvantage of monthly billing, for those on a budget, it can be a deal-breaker.

Advantages

Ironically, although monthly billing costs more in the long run, it can be a budget-friendly option for small business owners who are truly strapped for cash, simply because a single monthly payment is lower than an annual payment. While this makes monthly billing attractive and sensible for many individuals, be sure to keep the ultimate total price in mind when structuring your web space budget.

As you can see, there’s no right or wrong when it comes to choosing a billing cycle. It all depends on which plan works most efficiently with your needs and budget. You can get started right way by checking out our comparisons of top plans.