Every paid app and every paid bundle offers the same three choices, and they sit on the app's sheet before you install rather than being buried in a confirm step.
Monthly
Open-ended. Billed every month at the app's monthly price, cancel any time.
Annual
Billed once a year, up front, and priced at ten months instead of twelve. The badge says 2 months free and today that is literally what it is: the yearly figure is the monthly price times ten. The picker shows both the yearly total and the monthly equivalent, so you can check the arithmetic before you commit to it.
Cancelling later stops the next renewal. The months you have already paid for run to their end and are not refunded.
Commit
Billed monthly, exactly like Monthly, but held for a fixed term of 3, 6 or 12 months. The term ends automatically when it is up, with nothing to cancel.
There is no discount on this option and we do not present it as one. It is the same monthly price for a set period. The picker shows what the whole term adds up to.
Annual and a fixed term cannot be combined
Annual is open-ended and charges the whole year in advance, so a fixed term has nothing left to do. Asking for both is refused.
Choose before you subscribe
There is no self-serve way to move an app between monthly and yearly, or to change a fixed term, once the subscription is live. Once an app is being paid for, subscribing again is refused because you already have a subscription for it.
The picker is shown at install, on a trialing or lapsed app's line under Settings, then Billing & Plan, and on a lapsed app's own locked screen. There is one place it is not shown: Subscribe to keep it, on the marketplace sheet of an app you already have on trial. That button goes straight to the payment page on the yearly option. The payment page names the amount before you confirm, so read it there, and if you wanted monthly, subscribe from the billing page line instead.
If you have already subscribed and the cadence is wrong, contact support rather than installing a second copy.
Where to check what you picked
Settings, then Billing & Plan. A yearly app carries an Annual badge next to its name and shows the yearly figure with the monthly equivalent underneath. A fixed-term app shows Committed until and a date. An open-ended monthly app shows neither, because its next renewal date is a renewal, not a commitment. See what your apps are costing you.
The combined plan subscription is monthly or yearly only
If you buy your plan and your apps together in one subscription, the choice there is monthly or yearly. There is no fixed term on that path. See pay for your plan and your apps together.
Who can choose
An owner or an admin, at the point of installing or subscribing.
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