Last updated July 24th 2024

What is Cost Allocation and Chargeback? The Complete 2025 Guide

Easily allocate cloud costs to teams or departments and manage chargebacks for resource usage.

Evaluating solutions?
Work with Taloflow's technology selection platform containing tens of thousands of up-to-date vendor data points in dozens of categories to:
Get a detailed requirements table
Filter solutions based on your priorities
Evaluate vendors for your exact use case
Get my free report
takes 5 minutes

What is Cost Allocation and Chargeback?

Designed for enterprises with multiple departments or teams, this use case provides a clear view of cloud cost allocation and chargeback. It enables organizations to track and assign cloud expenses based on usage by specific teams, projects, or departments, ensuring that financial accountability is maintained.

Products for Cost Allocation and Chargeback

We’ve listed the products and solutions that commonly address the Cost Allocation and Chargeback use case below.

IBM Cloudability logo

IBM Cloudability is fit for enterprises looking to build a “Cloud Center of Excellence”. The team behind Cloudability are also the main purveyors of the value of FinOps and that can be seen in the product.

CloudForecast logo

CloudForecast is an ideal solution for small teams and startups because it has affordable pricing and doesn't do too much. Setup up is turnkey and provides simple cost monitoring out-of-the-box with cloud spend reports delivered to email or Slack the next day.

Kubecost logo

Owned by IBM, Kubecost is an open-source cloud cost management solution designed for teams heavily utilizing Kubernetes. Developed by the team behind Kubernetes, it now includes tracking of non-Kubernetes spend, providing comprehensive cost insights.

VMware Tanzu CloudHealth logo

VMware Tanzu CloudHealth is fit for enterprises looking to build a “Cloud Center of Excellence”. CloudHealth is the pioneer in cloud cost management services and one of the first to build a solution suitable for enterprises building multi-cloud.

Yotascale logo

Yotascale provides visibility into cloud spend with an engineering-first approach. Its sweet-spot is with companies that spend in excess of $1M per year and want to pivot away from the FP&A-oriented approaches of CloudHealth or Apptio Cloudability.

nOps logo

nOps provides comprehensive cloud management solutions for efficient and secure cloud operations.

Zesty logo

Zesty is a cloud cost optimization platform that uses machine learning to automatically adjust and rightsizes workloads across AWS, Azure, and Google Cloud.

Datadog Cloud Cost Management logo

Datadog Cloud Cost Management offers a comprehensive suite of tools for efficient cloud expenditure.

Nutanix Cloud Manager logo

Nutanix Cost Governance is a robust solution for optimizing cloud costs and ensuring governance.

Pump logo

Pump provides innovative billing solutions to streamline cloud cost management for businesses.

Cast AI logo

CAST AI is a cutting-edge solution for intelligent cloud infrastructure management.

ProsperOps logo

ProsperOps offers cloud cost optimization solutions with a focus on maximizing business value.

Antimetal logo

Antimetal is a comprehensive solution for managing cloud infrastructure securely.

CloudZero logo

CloudZero is focussed on the needs of digital native companies for whom cloud spend is a critical piece of COGS and where decision-making is closer to the engineering side. They also put a lot of emphasis on revealing unit and marginal costs.

Spot.io logo

Spot offers a comprehensive portfolio of cloud cost management and optimization services. Known for its advanced spot management solutions, it is a top choice for MSPs and seamlessly integrates with other Spot offerings. CloudCheckr, an integral part of the platform, is a comprehensive cloud management solution with a suite of tools that goes beyond cost and into security, governance and compliance. It is popular among mid-market and enterprise companies.

Usage AI logo

Usage AI is an effective point solution that delivers ROI through automated management of Reserved Instances and Savings Plans on AWS. It has an attractive pay-for-performance-like pricing model as well.

Vantage logo

Vantage has the most seamless onboarding experience in the market, and still comes with powerful filtering tools and cost insights delivered in a great design. If you're tired of pivoting tables with your cost data, this might be the tool for you.

Harness Cloud Cost Management logo

Harness Cloud Cost Management delivers advanced tools for optimizing and controlling cloud expenses.

Finout logo

Finout is a FinOps platform for managing cloud costs and infrastructure efficiently.

Cost Allocation and Chargeback Features

Customize these feature priorities in Taloflow and get expert ratings for 15 different vendors and solutions, including None.

Feature Dimensions Description Priority
Budgets
Gives you the ability to set different budgets and alert teams when they are approaching or have gone over the budget. Critical
Chargeback Policies and Allocation
  • Cost Allocation
Provides tools, like cost allocation reports, to split the costs of environments and resources between different business units and satisfy the accounting needs of the business. Critical
Automated Container Cost Allocation
  • Cost Allocation
Pulls actual usage data and automatically attaches costs to namespaces, labels, clusters, and more. Important
Business Groups
  • Cost Allocation
The service allows you to create custom views and allocate spend to groups that reflect how the business is organized. Important
Cost per Customer
Tie your business events and customer interactions to your cloud spend to make decisions that improve overall profitability. Nice To Have
Evaluating solutions?
Work with Taloflow's technology selection platform containing tens of thousands of up-to-date vendor data points in dozens of categories to:
Get a detailed requirements table
Filter solutions based on your priorities
Evaluate vendors for your exact use case
Get my free report
takes 5 minutes

Disclaimer

Taloflow does not guarantee the accuracy of any information on this page including (but not limited to) information about 3rd party software, product pricing, product features, product compliance standards, and product integrations. All product and company names and logos are trademarks™ or registered® trademarks of their respective holders. Use of them does not imply any affiliation or endorsement. Vendor views are not represented in any of our sites, content, research, questionnaires, or reports.