How to get reserved instance for VM provisioned with terraform?

Question

How to get reserved instance for VM provisioned with terraform?

daniel tuttle 20

Hello. I want to make sure I do this right because I don't want to spend 2000 bucks to find out I did it wrong. I want to get a 4 core 16GB ram VM as a reserved instance for 3 years so I can save money. I also want to provision this with terraform. I want to check that I am doing this right. I think that I provision the resources with terraform, then in the azure console in the Reservations section I purchase the resource reservation. Does it automatically apply to my terraform provisioned VM? If not, how do I designate my terraform provisioned VM as a reserved instance?

deherman-MSFT 38,021 Reputation points Microsoft Employee Moderator

2023-03-28T15:53:25.9666667+00:00

@daniel tuttle

Hello,

I hope this has been helpful! We appreciate hearing from you and would love to help others who may have the same question. Accepting answers helps increase visibility of this question for other members of the Microsoft Q&A community. Thank you for helping to improve Microsoft Q&A!
deherman-MSFT 38,021 Reputation points Microsoft Employee Moderator

2023-04-05T16:53:52.49+00:00

@daniel tuttle Did this help? Let us know if you still have issues.

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deherman-MSFT 38,021 Reputation points Microsoft Employee Moderator

2023-03-28T15:53:25.9666667+00:00

@daniel tuttle

Hello,

I hope this has been helpful! We appreciate hearing from you and would love to help others who may have the same question. Accepting answers helps increase visibility of this question for other members of the Microsoft Q&A community. Thank you for helping to improve Microsoft Q&A!
deherman-MSFT 38,021 Reputation points Microsoft Employee Moderator

2023-04-05T16:53:52.49+00:00

@daniel tuttle Did this help? Let us know if you still have issues.

Answer 1

TP 124.7K Volunteer Moderator

Hi,

If you purchase reserved instance type that matches what you provisioned with terraform, then the discount will be automatically applied.

How the Azure reservation discount is applied to virtual machines

https://learn.microsoft.com/en-us/azure/cost-management-billing/manage/understand-vm-reservation-charges

In addition, keep in mind you have the ability to do a refund/exchange:

https://learn.microsoft.com/en-us/azure/cost-management-billing/reservations/exchange-and-refund-azure-reservations

If the above answers your question please click Accept Answer.

Thanks.

-TP

daniel tuttle 20 Reputation points

2023-03-22T22:39:52.5266667+00:00

Ok great thanks. It sounds like my understanding was correct. I am going to do this. If my bill is what I expect to be next month I will click 'accept answer'. Thank you.
TP 124.7K Reputation points Volunteer Moderator

2023-03-22T22:46:16.5433333+00:00

@daniel tuttle You should not wait that long. Create the VM, purchase the reservation immediately afterwards, wait several hours (say 24 hours should be fine), then check billing usage details to verify that compute cost of VM has been zeroed out.

If you need help with the above let me know after you have had the VM running for enough hours. Only reason I ask you to wait is due to the lag before billing usage details are available.
daniel tuttle 20 Reputation points

2023-04-05T22:06:34.6166667+00:00

Hello. The above is a way to do it and I did the above and accepted an answer. I am still trying to figure out the costs of this. My forecasted costs are 4 times higher right now for this AKS cluster after having provisioned the reservation for the VM it's running on. The support is saying that the forecasting model does not have good info which is why it is so high. This post was helpful however I would encourage folks to do their own research before doing exactly what I did. Reason being my costs at the moment are forecasted to be 4X higher than what the pricing calculator was saying they would be even with the reservation. I can update next month if these costs end up coming down to what the projection was when I bought it.

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How to get reserved instance for VM provisioned with terraform?

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