When you select the Annual Plan for Google Apps billing, you are committing to Google Apps for a full year. You will be billed monthly for a portion of the annual commitment which is $50 per license. A license is required for each user account. For example, if you selected an Annual Contract for 7 licenses, you would be billed $29.17 on the last day of each month for the 12 months of your contract.
(7 licenses x $50 per license per year) / 12 months = $29.17 billed per month
You can add user accounts up to the number of licenses that you initially purchased. If you need more user accounts, you'll need to purchase additional licenses first. Any licenses purchased after the initial commitment will be prorated. For example, if you added 3 licenses to your order above on the 6th day of the 4th month of your commitment, your bills would look like this:
Months 1-3: (7 licenses x $50 per license per year) / 12 months = $29.17
Month 4: (7 licenses x $50 per license per year) / 12 months = $29.17 + (3 licenses x $50 per license per year prorated for 24 days) / 12 months = $10 for a total bill of $39.17
Months 5-12: (10 licenses x $50 per license per year) / 12 months = $41.67
Note: If you cancel your service before the annual contract is over, you are responsible for the full value of the annual commitment. We will charge you an amount equal to the remaining balance on your account.