Balancing is usually done at the top of the charge. This is not necessarily 100% SOC (the battery's maximum capacity) but at the level to which the cells are charged.
For example, a cell might be at 100% SOC when charged to 4.2 Volts. Suppose that the charging system is designed to limit this to, for example, 4.1 V in order to extend battery life. In that case, balancing is done at 4.1 V per cell.
Although the above is the most common practice, there are other approaches. Since all the cells are not absolutely identical, even when top balanced, when the battery is discharged the weakest cell will reach the minimum allowable Voltage before the others. So an alternate approach that is sometimes taken is "bottom balancing". In this case, it's worked out so that all the cells reach the minimum allowable Voltage at the same time.
It's not clear to me what are the advantages, if any, of bottom balancing. But I think top balancing is much easier to implment
For example, a cell might be at 100% SOC when charged to 4.2 Volts. Suppose that the charging system is designed to limit this to, for example, 4.1 V in order to extend battery life. In that case, balancing is done at 4.1 V per cell.
Although the above is the most common practice, there are other approaches. Since all the cells are not absolutely identical, even when top balanced, when the battery is discharged the weakest cell will reach the minimum allowable Voltage before the others. So an alternate approach that is sometimes taken is "bottom balancing". In this case, it's worked out so that all the cells reach the minimum allowable Voltage at the same time.
It's not clear to me what are the advantages, if any, of bottom balancing. But I think top balancing is much easier to implment