Microsoft Add-On for Gradient Reconcile
Microsoft billing for MSPs, finally under control.
Different terms. Different payment schedules. Renewals all year long. Surprise price changes. Azure usage files no one can read. The Microsoft Add-On pulls it all together and keeps your PSA right.
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Pick Microsoft as one of the vendors we check in your audit.
Trusted by 1,000+ MSPs to get billing right.
SOC 2 Type 2 certified.
Microsoft Reconciliation
Why Microsoft billing is hard
Microsoft is the messiest part of your billing.
Too many versions of everything.
Dozens of products, each with monthly, yearly, or multi-year terms.
Payments don’t match terms.
One client pays monthly on a yearly term. Another pays yearly. Another pays monthly on a month-to-month deal.
Prices change at different times.
At renewal. In the middle of a term. When a promo ends. Your billing has to keep up with all of it.
Renewals happen all year.
Every subscription has its own end date.
The data gap
Your distributor and Microsoft each tell half the story.
Your distributor
Knows your cost and terms. But it doesn’t know which users have which licenses.
- Cost and terms
- Users and licenses
Microsoft
Knows which users have which licenses. But it doesn’t know your cost.
- Users and licenses
- Cost and terms
Gradient connects both
Then it matches them up and keeps your PSA in sync.
- Cost and terms
- Users and licenses
Most tools only sync one side. Gradient syncs both.
How it works
Microsoft billing, start to finish.
Step 1: Connect
Link your distributor (Pax8, Ingram Micro, or TD SYNNEX) and Microsoft. Gradient pulls in both sides. For Azure, just upload the usage file from Microsoft.
Step 2: Match
Every license, user, term, payment schedule, renewal date, and cost gets matched to your PSA.
Step 3: Catch
Every add, removal, upgrade, downgrade, and price change gets flagged. Gradient syncs daily, so nothing waits until month-end.
Step 4: Update
Approve the changes, or set them to update your PSA on their own. Counts, costs, and prices stay right, with proration handled for you.
What you get
Bill Microsoft right. Every month.
Never miss a renewal. See every end date and auto-renewal before it hits.
Stop paying for unused licenses. See unassigned licenses across all your clients.
Protect your margins. Set a minimum margin or follow MSRP for each product. When prices go up, you’ll know right away.
Catch everything. User changes, count changes, and cost changes. Nothing slips by.
Microsoft Integration Setup
×- ✓Preparation
- ✓Authentication
- ✓Account Mapping
- ✓Product Mapping
- 5Settings
- 6Review
Auto-Approval and Proration
BACKNEXTChoose how each mapped product is reconciled. With Auto-Approve on, changes update your PSA on every sync.
| Microsoft Product | Commit | Payment | Auto-Approve | Effective Date | Min Margin |
|---|---|---|---|---|---|
| Microsoft 365 Business Premium | Annual | Monthly | Immediate (Proration)⌄ | 15 % | |
| Microsoft 365 Business Basic | Annual | Monthly | Immediate (Proration)⌄ | 15 % | |
| Microsoft 365 Copilot | Annual | Monthly | Immediate (Proration)⌄ | 20 % | |
| Exchange Online (Plan 1) | Monthly | Monthly | Start of next billing period⌄ | 25 % | |
| Microsoft Entra ID P1 | Annual | Annual | Start of next billing period⌄ | 15 % |
Azure billing
Azure billing, the way MSPs bill.
Microsoft’s Azure usage file is raw and messy. Gradient reads it for you and turns it into clean invoice lines. It works whether you buy Azure direct from Microsoft or through a distributor.
Choose how Azure shows on the invoice:
Choose how to price it:
- Percent markup. Add a set percent on top of your cost.
- Fixed markup. Add a set dollar amount on top of your cost.
- Set price. Bill a fixed price, no matter what it costs you.
Invoice preview
| Invoice line | Amount |
|---|---|
| Azure Services | $1,530.72 |
| Total | $1,530.72 |
1 invoice line
Sample data.
With Gradient, I catch any licensing issues before billing goes out and correct it.
Aiman IswaisiRipple ITIntegrations
Works with your distributor and your PSA.
Distributors



PSAs






Built on Reconcile
Cover all your billing, not just Microsoft.
The Microsoft Add-On is added to your Reconcile account. Reconcile handles all your other vendors. The add-on handles Microsoft. Together, every invoice is covered.
Don’t have time to run it yourself? Our team can do it all for you with Managed Billing Reconciliation.
FAQ
Questions we hear a lot.
Who is the Microsoft Add-On for?
MSPs using Reconcile who resell Microsoft 365 through a distributor like Pax8, Ingram Micro, or TD SYNNEX. Azure billing works whether you buy direct from Microsoft or through a distributor.
Do I need Reconcile too?
Yes. The Microsoft Add-On works on top of Reconcile and needs a Reconcile account.
Can changes update my PSA on their own?
Yes, if you want. You choose auto-approve for each product, or review and approve changes yourself.
How is proration handled?
Gradient syncs daily. You choose if changes take effect right away with proration or at the start of the next billing period.
Do you handle Azure?
Yes. Upload Microsoft’s Azure usage file, and Gradient turns it into clean invoice lines. You choose how it’s grouped and how it’s marked up.
Is my data safe?
Yes. Gradient is SOC 2 Type 2 certified and meets HIPAA and GDPR standards.
Your next Microsoft bill is coming. Make sure it’s right.
See where your Microsoft billing doesn’t match in a free 30-minute audit.
