Cloud & Infrastructure
Practical
By Samson Tanimawo, PhD
Published Apr 11, 2026
4 min read
Savings Plans Rightsizing 2026
Savings Plans commit to spend. The rightsizing approach that maximises commitment without overcommitting.
Find your baseline
Trailing 90-day spend on covered usage. The floor; below this, cost is too low to commit.
Historical seasonality; commit below the floor of the seasonal pattern.
Commit level
70-80% of baseline. Leaves room for short-term reductions.
Avoids over-commit which costs more than no commit.
Layer commitments
Multiple shorter terms (1-year) instead of one long term (3-year).
More flexibility; small price difference.