> ## Documentation Index
> Fetch the complete documentation index at: https://docs.prem.io/llms.txt
> Use this file to discover all available pages before exploring further.

# Limits

> Configure monthly spending limits.

## Monthly Limit (Budget)

You can set a **monthly spending limit** (budget) for your organization. This is the maximum amount that you want to spend on API usage in a calendar month.

Prem does not choose this limit for you. Set one if you want a monthly cap on your spending. Your tier sets the highest value that you can choose.

When your spending gets to the limit that you set, Prem API blocks API requests until:

* The next billing period starts (the 1st of the next month), or
* You increase the limit in the [dashboard](https://dashboard.prem.io/billing)

> [!NOTE]
>
> Your monthly spending (`period_spent`) goes to zero automatically on the **1st of each month**.

## Reasons to change your limit

* **Cost protection**: prevent unexpected charges from scripts that do not stop or from integrations with an incorrect configuration
* **Team budget control**: keep the spending in the budget of your organization
* **Scale up**: increase the limit when your usage grows

## Maximum spending limit by tier

Your usage tier sets the **highest** spending limit that you can choose. It does not set a limit for you. A request to set a limit above that maximum returns `BUDGET_EXCEED_TIER_LIMIT`. Prem increases the maximum when you move to a higher tier.

See [Tiers](https://docs.prem.io/tiers.md#limits-by-tier) for the maximum of each tier, and for the token and audio limits that come with it.

> [!TIP]
>
> You can change your monthly limit at any time in the dashboard. An increase of the limit is effective immediately.


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