---
title: Organization level budgets
source: https://docs.newrelic.com/docs/accounts/accounts-billing/new-relic-one-pricing-billing/compute-budgets/organization-level-budgets
---

Effective cost management is crucial for organizations, and New Relic offers deep visibility into your CCU usage. Additionally, implementing proactive mechanisms to alert and stay within budget can help manage costs effectively across the organization.

## Understanding your default budget

We create a default budget based on your contract commitment if you have minimum commitments defined on any of your Compute SKUs. If you do not have a minimum contract commitment on any of your Compute SKUs, you can set up the budget yourself:

### For single-tenant customers

-   **With contract commitments:** If you have a contract commitment, your default **Organization Budget** is set equal to your contract commitment and reflects your SKU purchases. This budget updates monthly and provides a clear overview of your Compute Capacity Unit (CCU) commitments.

-   **Without contract commitments:** If you do not have a contract commitment, you can create your **Organization Budget** by clicking the **Set your organization budget** button.

-   **Mixed scenario (partial commitments):** If you have multiple Compute SKUs with minimum commitments on some of them, we create an **Organization Budget** for the SKUs with commitments based on your contract commitment. For SKUs without commitments, you can set the budget value by clicking **Set advanced limit**.

### For multi-tenant customers

-   **With contract commitments:** If you have a contract commitment, your default **Customer Budget** operates at the customer level rather than the organization level. Your contract commitment applies at the customer level across multiple organizations, and this budget encompasses all organizations under your customer profile.

-   **Without contract commitments:** If you do not have a contract commitment, you can create your Customer Budget by clicking the **Set your company budget** button.

-   **Mixed scenario (partial commitments):** If you have multiple Compute SKUs with minimum commitments on only some of them (for example, Core Compute but not Advanced Compute), we create a Customer Budget for the SKUs with commitments based on your contract commitment, and you can set the budget value for SKUs without commitments by clicking **Set advanced limit**.

You can also create **organization level budgets** for individual managed organizations.

## Manage organization level budgets limits

### Open Compute Budgets

In the [user menu](https://docs.newrelic.com/docs/accounts/accounts-billing/general-account-settings/intro-account-settings), select **Administration** > **Compute Budgets**.

> #### ⚠️ IMPORTANT
>
> When you open the **Compute Budgets** landing page:
>
> -   **Single-tenant customers** see an **Organization Budget** by default, set based on your compute SKU contract commitment. It updates monthly and shows your Compute Capacity Unit (CCU) commitments.
> -   **Multi-tenant customers** see a **Customer Budget** by default, which encompasses all organizations under your managing organization. This budget is set based on your compute SKU contract commitment, updates monthly, and shows CCU usage across your customer profile.

### Manage budget limits

Select **Manage limits** in the budget section.

-   **Single-tenant customers**: The **Edit Organization Budget** page appears.
-   **Multi-tenant customers**: The **Edit Customer Budget** page appears.

### Manage monthly budget limits

To update the spending thresholds for your organization:

1.  In the **Set monthly budget limits** section, specify the amount of compute CCU you want to track.

    -   **Single-tenant customers**: This applies to your Organization Budget.
    -   **Multi-tenant customers**: This applies to your Customer Budget.

    > #### ⚠️ IMPORTANT
    >
    > By default, we configure this based on your monthly contract commitments.
    >
    > **CCU types displayed**: Depending on your purchase, you may see:
    >
    > -   **Advanced CCUs** only
    > -   **Core CCUs** only
    > -   **Legacy CCUs** only
    > -   **Both Advanced and Core CCUs**
    >
    >     The fields shown depend on what compute SKUs your customer has.

2.  Select **Next**.

    ![Screenshot displaying the Set monthly budget limits page with advanced and core CCU limits highlighted](https://docs.newrelic.com/images/set-monthly-budget-limits.webp "Screenshot displaying the Set monthly budget limits page with advanced and core CCU limits highlighted")

### Set up notifications

1.  To prevent overages and manage costs effectively, in the **Set up organization budget notifications** page, set the threshold percentage and choose the destination for notifications.
2.  To receive a warning when you've used a certain percentage of the CCU assigned to a budget for a specific month, in the **Thresholds** tab, select **+ Add a threshold** and enter the percentage at which you want to receive notifications.
3.  To ensure notifications are sent when the budget exceeds the threshold, in the **Destinations** tab, add at least one person to be notified. You can choose from the following options:
    -   **Email**: Enter the email addresses of New Relic users to notify them about the budget.
    -   **Webhook**: Enter the webhook URL to send notifications to a specific endpoint.
4.  Select **Finish**.

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