Computerized methods, systems, and computer-storage media for allowing virtual machines (VMs) residing on a common physical node to fairly share network bandwidth are provided. Restrictions on resource consumption are implemented to ameliorate stressing the network bandwidth or adversely affecting the quality of service (QoS) guaranteed to tenants of the physical node. The restrictions involves providing a scheduler that dynamically controls networking bandwidth allocated to each of the VMs as a function of QoS policies. These QoS policies are enforced by controlling a volume of traffic being sent from the VMs. Controlling traffic includes depositing tokens into token-bucket queues assigned to the VMs, respectively. The tokens are consumed as packets pass through the token-bucket queues. Upon consumption, packets are held until sufficient tokens are reloaded to the token-bucket queues.