> ## Documentation Index
> Fetch the complete documentation index at: https://docs.getlago.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Custom pricing units

> A pricing unit works like a custom currency, allowing you to express charges in something other than fiat (e.g., credits or tokens).

<Info>
  **Premium feature ✨**:
  Only users with a premium license can activate and use pricing units. Please [**contact us**](mailto:hello@getlago.com) to get access to Lago Cloud and Lago Self-Hosted Premium.
</Info>

## Create a pricing unit

You can create as many pricing units as needed. Please note that once created, a pricing unit can’t be deleted unless you contact us.

To create a new pricing unit:

1. Go to **Settings**
2. In the **Your organization** section, open the **Invoices** tab
3. Click **Create** next to the **Pricing units** section
4. Define a **name**, **code**, **short name**, and optionally, an internal description

The **short name** acts like a currency symbol on invoices. It’s limited to 3 characters (e.g., `tks` for tokens or `cdt` for credits).

## Associate charges with a pricing unit

Once pricing units are created, you can use them when defining a plan. For now, only charges support pricing units.

<Tabs>
  <Tab title="Dashboard">
    1. Open an existing plan or create a new one
    2. Add a new charge, existing charges can't be updated
    3. In the charge details, pricing unit is set by default in the plan’s currency
    4. Switch to a pricing unit by selecting one from the dropdown
    5. Set a **conversion rate** to ensure proper invoicing
    6. Define your **charge model** based on the selected pricing unit
    7. Optionally, set a **spending minimum** in the same pricing unit
  </Tab>

  <Tab title="API">
    <CodeGroup>
      ```json Associate a pricing unit to a charge {18-21} theme={"dark"}
      {
        "plan": {
          "name": "Standard",
          "invoice_display_name": "Standard",
          "code": "standard",
          "interval": "monthly",
          "amount_cents": "0",
          "amount_currency": "USD",
          "pay_in_advance": "false",
          "charges": [
            {
              "billable_metric_id": "3a038c85-40fa-4ee3-9b22-18b3b6b95654",
              "charge_model": "standard",
              "pay_in_advance": "false",
              "invoiceable": "true",
              "prorated": "false",
              "min_amount_cents": "3000",
              "applied_pricing_unit": {
                "code": "credits",
                "conversion_rate": "0.50005"
              },
              "properties": {
                "amount": "10"
              }
            }
          ]
        }
      }
      ```
    </CodeGroup>
  </Tab>
</Tabs>

## Current & past usage

Charges defined in pricing units will be calculated and displayed in two ways: in fiat currency (using the conversion rate set at the charge level) and in the pricing unit itself.

You’ll find this information in the current and past usage data, where amounts are also shown in pricing units.

<CodeGroup>
  ```json Current & past usage {5-9} theme={"dark"}
  {
    "customer_usage": {
      "charge_usage": [
        {
          "pricing_unit_details": {
            "amount_cents": 10,
            "short_name": "CR",
            "conversion_rate": "0.50005"
          }
        }
      ]
    }
  }
  ```
</CodeGroup>

## Invoicing behaviour

Even if prices are expressed in pricing units, invoices will always reflect the equivalent fiat currency amount. The invoicing experience mirrors what’s shown in the current and past usage: amounts are displayed in both fiat and the associated pricing unit.

<CodeGroup>
  ```json Invoicing behaviour {3-12} theme={"dark"}
  {
    "fee": {
      "pricing_unit_details": {
        "lago_pricing_unit_id": "9fb3ad78-9fb3-4f4e-9e27-304c16db6abb",
        "pricing_unit_code": "credits",
        "short_name": "CR",
        "amount_cents": 100000,
        "precise_amount_cents": "100000.0",
        "unit_amount_cents": 100,
        "precise_unit_amount": "1.0",
        "conversion_rate": "0.50005"
      }
    }
  }
  ```
</CodeGroup>

## Wallet and transactions

Pricing units don’t affect wallet behavior. You can use wallets independently or alongside pricing units, depending on your use case.