# Index-linked and formula pricing: pricing methods template > Base price plus an index at a stated lag and factor, with the surcharge that applies when the index outruns the formula. Source: https://revomo.ai/marketplace/templates/index-linked/ --- [Marketplace](https://revomo.ai/marketplace/)[Explore](https://revomo.ai/marketplace/)[Templates](https://revomo.ai/marketplace/templates/)[Metrics](https://revomo.ai/marketplace/metrics/) Marketplace - [Explore](https://revomo.ai/marketplace/) - [Templates](https://revomo.ai/marketplace/templates/) - [Metrics](https://revomo.ai/marketplace/metrics/) Business need - [Margin Leakage](https://revomo.ai/marketplace/collections/margin-leakage/) - [Cost Recovery](https://revomo.ai/marketplace/collections/cost-recovery/) - [Price Increase](https://revomo.ai/marketplace/collections/annual-price-increase/) - [Quote & Deal Performance](https://revomo.ai/marketplace/collections/quote-deal-performance/) - [Contract Renewal](https://revomo.ai/marketplace/collections/contract-renewal/) - [Rebates & Incentives](https://revomo.ai/marketplace/collections/rebates-incentives/) - [Market Response](https://revomo.ai/marketplace/collections/market-response/) Industry - [Industrial distribution](https://revomo.ai/marketplace/templates/?industry=distribution) - [Machinery & industrial products](https://revomo.ai/marketplace/templates/?industry=machinery) - [Building products](https://revomo.ai/marketplace/templates/?industry=building) - [Chemicals & materials](https://revomo.ai/marketplace/templates/?industry=chemicals) Search Marketplace - [Marketplace](https://revomo.ai/marketplace/) - [Templates](https://revomo.ai/marketplace/templates/) - [Pricing Methods](https://revomo.ai/marketplace/templates/?category=pricing) - Template ## Index-linked and formula pricing Base price plus an index at a stated lag and factor, with the surcharge that applies when the index outruns the formula. [See the Index-linked and formula pricing in Revomo →](https://revomo.ai/contact/?source=marketplace&type=template&artifact=index-linked&name=Index-linked+and+formula+pricing&collection=cost-recovery) ### The business question How should a contract price follow its index, and when does a surcharge kick in? ### What it does A formula price list template reading index series at a stated lag and factor, with a surcharge trigger for when the index outruns the formula. ### What’s inside Composed from the platform’s own objects, so it is a configuration you can open, not a document. - Price list template: formula - Dataset: index series - Ruleset: surcharge trigger ### Uses these metrics The measures that call for this template when they move, each with its own page. - [Cost of raw materials](https://revomo.ai/marketplace/metrics/raw-material-cost/)*Metric* Act when: Up over x% in one month, or a steady rise over a quarter ### Commercial context required What Revomo reads to run it. Everything else in the template is derived from these records. - Dataset: index series ### Relevant industries [Chemicals & materials](https://revomo.ai/marketplace/templates/?industry=chemicals)[Machinery & industrial products](https://revomo.ai/marketplace/templates/?industry=machinery) Type Template Category [Pricing Methods](https://revomo.ai/marketplace/templates/?category=pricing) Industries Chemicals & materials, Machinery & industrial products Business need [Cost Recovery](https://revomo.ai/marketplace/collections/cost-recovery/) Composed of 3 platform objects [See this in Revomo →](https://revomo.ai/contact/?source=marketplace&type=template&artifact=index-linked&name=Index-linked+and+formula+pricing&collection=cost-recovery) On representative data, or a slice of your own. ### Related templates - Commercial Data & Context #### [Landed cost model](https://revomo.ai/marketplace/templates/landed-cost/) Standard cost plus inbound freight, duty and handling, effective-dated, so margin is measured against what the unit actually cost. Distribution, Building products, Chemicals · Uses 4 metrics - Planning & Scenarios #### [Cost pass-through scenario](https://revomo.ai/marketplace/templates/cost-pass-through/) A cost shock, the price response by segment and its timing, and the margin path in between. Chemicals, Machinery, Building products · Uses 4 metrics - Analysis & Diagnostics #### [Freight recovery scorecard](https://revomo.ai/marketplace/templates/freight-scorecard/) Freight billed against freight paid by lane and account, and the delivered prices set before carrier rates moved. Distribution, Building products · Uses 1 metric ### See this template in Revomo. We will show the Index-linked and formula pricing running on representative data, or on a slice of your own, and what it would take to run it on yours. [See this on your commercial data →](https://revomo.ai/contact/?source=marketplace&type=template&artifact=index-linked&name=Index-linked+and+formula+pricing&collection=cost-recovery)[All templates](https://revomo.ai/marketplace/templates/)