IT chargeback is a process where departments are held accountable for their technology usage and resource expenses. IT chargeback usually results in a report that brings visibility to the costs associated with the IT services the various departments consume.
Chargeback Strategies
Different tools may require different allocation strategies. Different chargeback strategies should be used with different tools.
Torii support 3 different chargeback strategies:
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Bottom up - cost per license - The recommended strategy to apply where different costs apply to different license types. Use this strategy for integrated applications where you pay by seat.
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Bottom up - cost per user - The recommended strategy to apply where you pay per user regardless of their license type. Use this strategy for non integrated applications where you pay by seat.
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Top down - The recommended strategy for apps that are not charged per seat (e.g. Cloud Computing, Firewalls, Network Infrastructure) where you allocate cost to business units by percentage. Use this strategy for applications that are not charged by seat.
Where to View Chargeback Reports
Per-Application Report
Navigate to the Application Page → Chargeback tab to see detailed chargeback data for a specific app.
Consolidated report for all apps
Go to the Licenses Page → Chargeback tab to view a summary of all application chargebacks in one place.
Configuring Chargeback Per Application
- Go to the Application Page → Chargeback tab.
- Click “Configure chargeback” or “Reconfigure” to update an existing setup.
- Choose your allocation strategy and fill in the required details.
💡 Note that changing the annual cost per license here will also update the values on the Licenses Page, and vice versa.
Top-down allocation
For top-down allocation, Torii automatically suggests allocation percentages based on the current user count within each selected business unit.
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For integrated applications, Torii uses the total number of users with access.
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For non-integrated applications, it relies on the discovered users.
You can manually adjust the suggested percentages if needed. This is particularly important for non-integrated apps, where user counts per business unit may be less accurate due to reliance on indirect discovery methods.
To ensure the data reflects your latest organizational structure, you can recalculate chargebacks at any time by clicking the “Update user count and reallocate” link above the allocation table. Torii also displays a timestamp showing when the user count was last refreshed.
Tip - Recalculate your cost allocations periodically (e.g., quarterly) to align with your budgeting cycle and reflect organizational changes.