diff --git a/src/Infrastructure.EntityFramework/AdminConsole/Repositories/Queries/OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery.cs b/src/Infrastructure.EntityFramework/AdminConsole/Repositories/Queries/OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery.cs
index 0a681e2b5f..6be51f2036 100644
--- a/src/Infrastructure.EntityFramework/AdminConsole/Repositories/Queries/OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery.cs
+++ b/src/Infrastructure.EntityFramework/AdminConsole/Repositories/Queries/OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery.cs
@@ -23,7 +23,19 @@ public class OrganizationUserReadOccupiedSeatCountByOrganizationIdQuery : IQuery
         var sponsorshipsQuery = from os in dbContext.OrganizationSponsorships
                                 where os.SponsoringOrganizationId == _organizationId &&
                                       os.IsAdminInitiated &&
-                                      !os.ToDelete
+                                      (
+                                          // Not marked for deletion - always count
+                                          (!os.ToDelete) ||
+                                          // Marked for deletion but has a valid until date in the future (RevokeWhenExpired status)
+                                          (os.ToDelete && os.ValidUntil.HasValue && os.ValidUntil.Value > DateTime.UtcNow)
+                                      ) &&
+                                      (
+                                          // SENT status: When SponsoredOrganizationId is null
+                                          os.SponsoredOrganizationId == null ||
+                                          // ACCEPTED status: When SponsoredOrganizationId is not null and ValidUntil is null or in the future
+                                          (os.SponsoredOrganizationId != null &&
+                                           (!os.ValidUntil.HasValue || os.ValidUntil.Value > DateTime.UtcNow))
+                                      )
                                 select new OrganizationUser
                                 {
                                     Id = os.Id,
diff --git a/src/Sql/dbo/Stored Procedures/OrganizationUser_ReadOccupiedSeatCountByOrganizationId.sql b/src/Sql/dbo/Stored Procedures/OrganizationUser_ReadOccupiedSeatCountByOrganizationId.sql
index 933441a210..3d861670a6 100644
--- a/src/Sql/dbo/Stored Procedures/OrganizationUser_ReadOccupiedSeatCountByOrganizationId.sql	
+++ b/src/Sql/dbo/Stored Procedures/OrganizationUser_ReadOccupiedSeatCountByOrganizationId.sql	
@@ -19,5 +19,19 @@ BEGIN
             FROM [dbo].[OrganizationSponsorship]
             WHERE SponsoringOrganizationId = @OrganizationId
             AND IsAdminInitiated = 1
+            AND (
+                -- Not marked for deletion - always count
+                (ToDelete = 0) 
+                OR
+                -- Marked for deletion but has a valid until date in the future (RevokeWhenExpired status)
+                (ToDelete = 1 AND ValidUntil IS NOT NULL AND ValidUntil > GETUTCDATE())
+            )
+            AND (
+                -- SENT status: When SponsoredOrganizationId is null
+                SponsoredOrganizationId IS NULL
+                OR
+                -- ACCEPTED status: When SponsoredOrganizationId is not null and ValidUntil is null or in the future
+                (SponsoredOrganizationId IS NOT NULL AND (ValidUntil IS NULL OR ValidUntil > GETUTCDATE()))
+            )
         )
 END
diff --git a/util/Migrator/DbScripts/2025-04-24_00_UpdateOrgUserReadOccupiedSeatCountForSponsorships.sql b/util/Migrator/DbScripts/2025-04-24_00_UpdateOrgUserReadOccupiedSeatCountForSponsorships.sql
new file mode 100644
index 0000000000..7260c9c6d4
--- /dev/null
+++ b/util/Migrator/DbScripts/2025-04-24_00_UpdateOrgUserReadOccupiedSeatCountForSponsorships.sql
@@ -0,0 +1,41 @@
+IF OBJECT_ID('[dbo].[OrganizationUser_ReadOccupiedSeatCountByOrganizationId]') IS NOT NULL
+BEGIN
+    DROP PROCEDURE [dbo].[OrganizationUser_ReadOccupiedSeatCountByOrganizationId]
+END
+GO
+
+CREATE PROCEDURE [dbo].[OrganizationUser_ReadOccupiedSeatCountByOrganizationId]
+    @OrganizationId UNIQUEIDENTIFIER
+AS
+BEGIN
+    SET NOCOUNT ON
+    
+    SELECT
+        (
+            SELECT COUNT(1)
+            FROM [dbo].[OrganizationUserView]
+            WHERE OrganizationId = @OrganizationId
+            AND Status >= 0 --Invited
+        ) + 
+        (
+            SELECT COUNT(1)
+            FROM [dbo].[OrganizationSponsorship]
+            WHERE SponsoringOrganizationId = @OrganizationId
+            AND IsAdminInitiated = 1
+            AND (
+                -- Not marked for deletion - always count
+                (ToDelete = 0) 
+                OR
+                -- Marked for deletion but has a valid until date in the future (RevokeWhenExpired status)
+                (ToDelete = 1 AND ValidUntil IS NOT NULL AND ValidUntil > GETUTCDATE())
+            )
+            AND (
+                -- SENT status: When SponsoredOrganizationId is null
+                SponsoredOrganizationId IS NULL
+                OR
+                -- ACCEPTED status: When SponsoredOrganizationId is not null and ValidUntil is null or in the future
+                (SponsoredOrganizationId IS NOT NULL AND (ValidUntil IS NULL OR ValidUntil > GETUTCDATE()))
+            )
+        )
+END
+GO