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Gaging AWS Lambda pricing for small application

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Hello to everyone, i am about to purchase a Savings Plan for a small application i am developing but before to do so, i need to figure out whether or not i actually need coverage for the Lambda functions usage my project might require: given its small size i thought that the bill might be negligible, therefore i started looking online trying to find scenarios close enough to my situation.

I ended up finding a good looking example at the link below and i would really appreciate if someone more expert then me would confirm if this scenario is realistic or not.

https://www.simform.com/blog/aws-lambda-pricing/#:~:text=The%20pricing%20in%20AWS%20Lambda,thereafter%2C%20or%20%240.0000002%20per%20request.

Bookmark: AWS Lambda Pricing vs EC2 > #1. Low Compute Use Case

Thank you for your availability and have a good day.

Stefano

1 Answer
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Accepted Answer

Hi Stefano

Check these scenario hope it works

AWS Lambda Pricing Structure

Requests: You get 1 million free requests per month. Beyond that, you're charged $0.20 per million requests.

Duration: The first 400,000 GB-seconds (roughly 3.2 million seconds of compute time) are free. After that, you're charged $0.00001667 per GB-second.

if a Savings Plan is beneficial, consider these factors

  • Expected Request Volume: How many times a month do you anticipate your Lambda functions being invoked? If it stays below 1 million, you won't incur request charges.
  • Function Execution Time: How long do your Lambda functions typically run (in milliseconds)? If they stay under 400 milliseconds (0.4 seconds), you won't incur duration charges.
  • Memory Allocation: How much memory (in MB) do you allocate to your Lambda functions? Optimizing memory usage can significantly impact costs.

Scenarios for Savings Plans

  • Moderate Request Volume (1.5 Million/Month): If you expect to exceed 1 million requests but stay below 2 million, a Savings Plan might be worthwhile if your function execution time is high or your memory allocation is significant.
  • High Request Volume (5 Million/Month): Savings Plans become more attractive with higher request volumes, even if execution time is low.

Alternatives to Savings Plans

Reserved Concurrency: If you have predictable request patterns, consider Reserved Concurrency for fixed-rate pricing on Lambda capacity. However, this might not be ideal for a small application with variable usage.

Official AWS Documentation:

AWS Lambda Pricing: https://aws.amazon.com/lambda/pricing/

AWS Lambda Developer Guide: https://docs.aws.amazon.com/lambda/

Additional Resources https://lumigo.io/blog/aws-lambda-vs-ec2/

EXPERT

answered 2 years ago

EXPERT

reviewed 2 years ago

  • As Sandeep mentioned, there is a Free Tier for Lambda that may be enough for your small application. I suggest running your Lambda for a few days and monitor the usage and costs in Cost Explorer. You can also setup a Budget based on the Free Tier metrics so that you get alerted when the forecasted monthly usage will exceed (say 80%) of the free tier. This should give you enough warning before you are charged.

    If you see that there are no costs, then you are good. If you see that you are starting to see costs, then Cost Explorer can recommend the right Compute Savings Plan for your usage.

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