Azure Saving Plan vs. Reserved Instances, Document Extract and Notes

Saving Plans and Reserved Instances

I have compiled the following information to help you better understand “Saving plan” and “Reserve instances” when using Pricing Calculator as shown on the left.

 Azure Saving PlanAzure Reserved Instance
Doc
  • Save with Azure savings plans
  • Save with Azure reservations
  • What
  • Up to 30%+ discount from pay-as-you-go pricing across Azure compute resource globally
  • Applicable to a selected scope
  • Scope changeable
  • Plan transferable between supported agreements
  • 1- or 3-year commitment with monthly or up-front payment
  • For Windows VMs and SQL Database, the saving plan discount doesn’t apply to the software costs. You may be able to cover the licensing costs with Azure Hybrid Benefit.
  • Self-service reservations trade-in for Azure savings plans
  • If your Azure VMsDedicated Hosts, or Azure App Service reservations don’t provide the necessary flexibility you need, you may trade them for a savings plan.
  • Up to 60%+ discount from pay-as-you-go prices
  • Reservation scoping and options
  • Discount auto-applies to the resource usage that matches the attributes you select when you buy the reservation including: SKU, Region (where applicable); and Reservation scope
  • 1- or 3-year commitment with monthly or up-front payment
  • Reservation benefits are “use-it-or-lose-it” at hourly grain.   
  • HowSearch the keyword, save and click Saving plans.
  • Who can buy a savings plan
  • Savings plan-eligible resources
  • Determine your savings plan commitment
  • Manage Azure savings plans – Microsoft Cost Management
  • Seach with the keyword, save or reservation, and click Reservations. Azure Reservation
  • Determine what to purchasePurchase reservations
  • Why
  • Consistent compute spending on disparate resources
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  • Consistent resource usage
  •  

    Additional Information

    Use Spot Virtual Machines to buy unused compute capacity at significant cost savings for:

    • workloads that can handle interruptions and don’t need to be completed within a specific period of time.
    • workloads for dev/test/QA/Batch/ML/AI/image, etc.