Client Reimbursements
What Are Reimbursements?
As a nonprofit, Birdflop periodically reimburses clients based on excess profit. These reimbursements are usage-dependent and designed to maximally lower prices at high service utilization. All reimbursements are issued as credit to client accounts.Reimbursements are a key part of our nonprofit mission to keep hosting affordable and accessible. They allow us to return excess profit directly to our clients.
How Do They Work?
Frequency
Reimbursements are generally announced and distributed quarterly.Rate Variability
Reimbursement rates vary from period to period and can range from 0% to 100%, depending on:- Operating costs for the quarter
- Revenue generated
- Infrastructure investments needed
- Regional differences in costs
Calculation Basis
Reimbursements are calculated as a percentage of external transactions from each quarter.Geographic Rates
Transactions are categorized into:- US reimbursement rates: For services hosted in the United States
- EU reimbursement rates: For services hosted in Europe
- Combined rates: For clients with plans in both regions, based on the distribution of their services
Exclusions
Internal credits/payments made using past reimbursement credits are not eligible for reimbursement.Last quarter, US clients received a 33.7% reimbursement and EU clients received a 26% reimbursement, effectively lowering prices to 1.48/GB RAM for the US and EU, respectively.
Who Is Eligible?
Active clients are eligible for reimbursements. Active clients are defined as users who have at least one active service (not canceled or suspended) hosted on Birdflop at the time of reimbursement distribution.Eligibility Requirements
- Must have at least one active service at the time of distribution
- Service must not be canceled or suspended
- Must have made external transactions during the reimbursement period
If your service becomes active again before the distribution date, you will be eligible for reimbursements on qualifying transactions from that quarter.
Timeline
Rate Announcement
Reimbursement rates are announced within 15 days of the end of each reimbursement period.Distribution
All eligible clients receive their reimbursements within 31 days of the end of the reimbursement period.Payment Method
All reimbursements are issued as credit to client accounts.Historical Reimbursement Rates
We maintain transparency by publishing historical reimbursement rates for both US and EU clients. These rates demonstrate our commitment to returning excess profit to our community.Recent Quarters
- Q4 2024: US clients received 33.7%, EU clients received 26%
- Rates vary based on operational costs and regional differences
- Historical trends show consistent reimbursements across quarters
You can view a detailed historical chart of reimbursement rates on the Birdflop home page.
How Reimbursements Lower Costs
Reimbursements are designed to maximally lower prices at high service utilization:- Base Pricing: Plans start with a base price per GB RAM
- Quarterly Reimbursement: At the end of each quarter, eligible clients receive a percentage back
- Effective Pricing: The reimbursement effectively lowers your cost per GB RAM
- Usage-Dependent: Higher utilization means greater total savings
Example Calculation
- Base price: $2.70/GB RAM (US plan)
- Quarterly reimbursement: 33.7%
- Effective price after reimbursement: $1.99/GB RAM