Short answer: An SLO sets the internal reliability target. An SLA is the customer-facing commitment and defines the remedy if it is missed. An SLI measures the service performance used to evaluate the SLO.

SLO vs SLA vs SLI at a glance

TermWhat it defines or measuresWho owns itPayment API exampleIf missed
SLO
Service Level Objective
A reliability target for an SLI over a defined time windowService owner, product, and SREAt least 99.9% of valid payment requests succeed within 300 ms over a rolling 30-day windowThe error budget is consumed; the team reviews risk and prioritizes reliability work
SLA
Service Level Agreement
A customer-facing service commitment and its remediesBusiness, legal, and the service ownerAt least 99.5% of valid payment requests succeed within 300 ms each calendar monthThe customer may qualify for service credits or another contractual remedy
SLI
Service Level Indicator
Actual user-facing service performance calculated from telemetryPlatform, SRE, or engineering99.94% of valid payment requests succeeded within 300 msAn SLI is measured, not breached; its value shows whether the SLO is being met

SLO — Service Level Objective

An SLO is a target value or range for an SLI over a specified time window. It defines what good enough means for a service and gives the team an internal reliability objective rather than a contractual promise.

A complete SLO combines an indicator, a target, and a window—for example, at least 99.9% of valid requests succeed within 300 ms over a rolling 30-day window.

SLA — Service Level Agreement

An SLA is a customer-facing agreement that defines the expected service level and the remedy when the commitment is missed. Unlike an SLO, an SLA can carry financial or legal consequences.

Teams normally set the internal SLO more strictly than the external SLA so there is an operating buffer before a reliability miss becomes a contractual breach.

SLI — Service Level Indicator

An SLI is a quantitative measurement of a specific aspect of service performance. It is the observed value—not a target or a promise.

Useful SLIs describe user-visible outcomes such as request success rate, latency, or availability and define exactly which events count as good and valid.

How they work together

Start by choosing a user-visible measurement (SLI), set the internal target and time window (SLO), then make any external commitment and remedy explicit (SLA). Error budgets come from the SLO: the gap between 100% and the objective is the permitted unreliability. Use the SLO Calculator to translate a target into allowed downtime or failed requests, then the Error Budget Calculator to track consumption.

Common mistakes

Setting SLOs equal to SLAs. If your SLO equals your SLA, any SLO breach immediately triggers a contractual violation. Leave a buffer.

Too many SLIs. More SLIs mean more noise and more cognitive load. Most services need 2–4 SLIs that directly reflect user experience.

No consequences for SLO breaches. An SLO without a process for what happens when it breaches is just a number on a dashboard. Define the response before you need it.