| An
Example of Levelized
Billing
January, 1998
We will use January, 1998 as an example of the FIRST month on the
Levelized Budget Billing Program. Tipmont adds your monthly bill amounts
from the previous twelve months and then divides by twelve to arrive at
the monthly average. For the period from January, 1997 to December, 1997,
this, rounded to the nearest whole dollar, equals $77.00, which becomes
the January, 1998 bill amount.
Month Actual Bill Amount
| January |
69.81 |
| February |
60.67 |
| March |
60.25 |
| April |
64.35 |
| May |
65.53 |
| June |
78.19 |
| July |
107.48 |
| August |
104.99 |
| September |
105.17 |
| October |
87.91 |
| November |
59.91 |
| December |
56.58 |
TOTAL 920.84 / 12 = $77.00 (rounded to the
nearest dollar)
February, 1998
To calculate subsequent months (after first month
on Levelized Budget Billing Program), Tipmont adds the January, 1998
ACTUAL bill (that shown for power actually used) to the previous twelve
months and deducts the monthly amount from January, 1997. We then divide
this amount by twelve to arrive at $78.00, as shown below.
Month Actual Bill Amount
January |
69.80
(old month) |
| February |
60.67 |
| March |
60.25 |
| April |
64.35 |
| May |
65.53 |
| June |
78.19 |
| July |
107.48 |
| August |
104.99 |
| September |
105.17 |
| October |
87.91 |
| November |
59.91 |
| December |
56.58 |
| January (98) |
81.93 (new month)
|
TOTAL 920.88/12 = $78.00 (rounded to the nearest
dollar)
Subsequent Monthly Bill Calculations
The process illustrated for the February bill (adding the newest
month’s actual bill, dropping the oldest month and dividing by twelve)
above continues as long as you are on the Levelized Budget Billing
Program. As shown, large month-to-month bill fluctuations are "Levelized"
to small month-to-month changes. This program is an excellent tool to help
develop a balanced household budget, especially for those on fixed incomes
or tight budgets.
If you would like more information about the Tipmont’s
Levelized Budget Billing Program, you may call us toll free at 800.726.3953,
or E-mail questions.
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