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I’m currently looking into the best way to manage subscription plans and billing when customers change their plans during an active billing period. For example, a customer may start with a basic plan and later decide to upgrade to a higher-tier plan before the current billing cycle ends.

I’m particularly interested in understanding how others handle prorated charges in this situation. Should the customer be charged immediately for the difference, or is it better to apply the adjustment to the next invoice? I’d also like to know how plan downgrades are typically handled so that customers are not charged incorrectly.

Another question is how to keep the billing cycle consistent when multiple plan changes happen within the same period. Are there recommended practices or common configurations that make these scenarios easier to manage?

I’d appreciate any advice, examples, or lessons learned from people who have already implemented subscription changes and recurring billing.