Softwr

Accounting · head to head

Lago vs Karbon

Lago logo

Lago

Accounting

Open-source billing infrastructure for usage-based models

From
Free
Rated
-
Karbon logo

Karbon

Accounting

Practice management for accounting firms

From
$59/month
Rated
-

The short version

  • Only Lago has a free tier, so it costs nothing to try first.
  • Each has a real cost: Lago free tier limited to 10,000 entities per month with 5M event cap; Karbon monthly billing option only available for teams of 4 or more users

Where they differ

Only the attributes on which Lago and Karbon actually diverge.

Attributes where Lago and Karbon differ
AttributeLagoKarbon
Starting priceFree$59/month
Pricing modelFreemium with optional paid tierssubscription
Free tierYesNo
PlatformsWeb, Cloud, Self-hosted, On-premise, VPCWeb

Identical on both: user rating (Not yet rated), category (Accounting).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in Lago

  • Real-time usage metering
  • Multiple pricing models
  • Automated invoicing
  • Prepaid credits
  • Entitlements
  • Multi-currency support
  • Payment orchestration
  • Revenue analytics

Only in Karbon

Nothing recorded that Lago does not also cover.

What people use each for

The jobs each tool is most often brought in to do.

Lago

  • Building usage-based billing for high-volume APIs and infrastructurenot Karbon
  • Implementing metered billing for AI and tokenized servicesnot Karbon
  • Creating subscription and hybrid pricing modelsnot Karbon
  • Managing multi-currency billing for global companiesnot Karbon
  • Maintaining billing infrastructure without vendor lock-innot Karbon

Karbon

  • Automating client document collection for tax practice intakenot Lago
  • Tracking all client requests in workflows tied to jobsnot Lago
  • Aligning hours worked with billable time per engagementnot Lago
  • Automating period close by connecting practice management to accountingnot Lago
  • Streamlining client document submission and approval workflowsnot Lago

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Lago

  • Free tier limited to 10,000 entities per month with 5M event cap
  • No specific pricing published for Pro annual plan or Scale plan
  • Self-hosted and on-premise deployments require engineering resources
  • Community support only on free tier
  • Scale plan requires annual contracts and sales engagement

Karbon

  • Monthly billing option only available for teams of 4 or more users
  • Team plan at $59/month per user minimum cost may be expensive for smaller practices
  • No seat license discounts published; scaling costs linearly with user count

Pricing, plan by plan

Lago

Free
  • Build (Free)Free
    • 10,000 managed entities per month
    • 5M usage events per month
    • 1K events per second rate limit
  • Pro$399/month
    • 10,000 entities included (graduated pricing to 100K)
    • 25M usage events included (to 500M with graduated rates)
    • 10K events per second (upgradeable to 100K)
  • Scale$null/custom
    • Custom entity and event volumes
    • 50K events per second (upgradeable to 100K)
    • RBAC and SSO (SAML)

Karbon

$59/month
  • Team$59/month
    • Per-user pricing
    • Designed for small accounting firms
    • Minimum team size of 4 for monthly billing
  • Business$89/month
    • Per-user pricing
    • Workflow automation
    • Integrations for growing practices
  • Enterprise$null/mo
    • Custom pricing
    • Tailored for large accounting firms
    • Dedicated support

Which should you pick?

Choose Lago if

  • You need real-time usage metering.
  • You want to start without paying.
  • You work on Web, Cloud, Self-hosted, On-premise, VPC.
  • You also want multiple pricing models.

Choose Karbon if

Nothing in the data separates Karbon from Lago on the points above - pick on price and on how each one feels to use.

Questions people ask

Is Lago or Karbon better?
Neither clearly leads. Lago starts at Free and Karbon at $59/month, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Lago or Karbon?
Lago has a free tier; the other does not. Paid plans start at Free for Lago and $59/month for Karbon.
Does Lago or Karbon run on more platforms?
Lago runs on Web, Cloud, Self-hosted, On-premise, VPC. Karbon runs on Web.
Can I use Lago for free?
Yes. Lago has a free tier, so you can try it without paying. Karbon starts at $59/month.
What is Lago best used for?
Lago is most often used for building usage-based billing for high-volume apis and infrastructure, implementing metered billing for ai and tokenized services, creating subscription and hybrid pricing models, managing multi-currency billing for global companies. Of those, building usage-based billing for high-volume apis and infrastructure and implementing metered billing for ai and tokenized services are not what Karbon is typically brought in for.
What can Lago do that Karbon cannot?
Lago covers Real-time usage metering, Multiple pricing models, Automated invoicing, Prepaid credits.

Answered from the vendors’ own pages

Lago: Can I use Lago open-source for free?

Yes, Lago is open-source under the AGPLv3 license and can be self-hosted. The cloud-based Build plan is also free with limits of 10,000 entities and 5M events per month.

Source
Karbon: How much does Karbon cost?

Karbon pricing starts at $59 per user per month (Team plan, billed annually) or $79 per user per month (monthly billing for 4+ users). Business plan is $89/month annual or $99/month monthly. Enterprise pricing is custom.

Source
Lago: What payment providers does Lago integrate with?

Lago integrates with Stripe and Adyen for payment processing. It is not a payment processor itself but orchestrates payments through these providers.

Source
Karbon: Is there a discount for annual billing on Karbon?

Yes, Karbon offers annual billing at a discount compared to monthly. Team plan is $59/month annually versus $79/month monthly. Business plan is $89/month annually versus $99/month monthly.

Source
Lago: Does Lago support multiple currencies?

Yes, Lago supports multi-currency billing with automatic currency conversion for global businesses.

Source
Karbon: What is the minimum user requirement for monthly billing on Karbon?

Karbon requires a minimum team size of 4 users to access monthly billing. Teams smaller than 4 must choose annual billing.

Source
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