{"id":45627,"date":"2024-06-10T15:45:59","date_gmt":"2024-06-10T22:45:59","guid":{"rendered":"\/us\/en\/blog\/?p=45627"},"modified":"2025-07-14T04:58:31","modified_gmt":"2025-07-14T11:58:31","slug":"billable-hours","status":"publish","type":"post","link":"\/us\/en\/blog\/billable-hours\/","title":{"rendered":"What are billable hours? Time-tracking guide and tips"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Many professional industries work in billable hours. But knowing how to effectively track them can be a tricky business. Billable hours are lucrative for firms\u2014sometimes, it\u2019s necessary for employees to reach ambitious quotas. As a result, maximizing efficiency and productivity is essential.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It goes without saying that no staff member wants their hard work going unnoticed. So, the benefits of staying abreast of each employee\u2019s billable hours should never be underestimated.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We\u2019ve compiled a guide that will tell you everything you need to know about billable hours and the tools you need to start optimizing outputs as soon as possible.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In particular, the questions we\u2019re going to explore are:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"#billable-hours\"><span style=\"font-weight: 400;\">What are billable hours?<\/span><\/a><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"#difference-between-billable-and-non-billable-hours\"><span style=\"font-weight: 400;\">What is the difference between billable and non-billable hours?<\/span><\/a><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"#how-do-you-calculate-billable-hours\"><span style=\"font-weight: 400;\">How do you calculate billable h<\/span><span style=\"font-weight: 400;\">o<\/span><span style=\"font-weight: 400;\">urs?<\/span><\/a><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"#why-you-should-track-billable-hours\"><span style=\"font-weight: 400;\">Why should you track billable hours?<\/span><\/a><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"#how-many-billable-hours-are-normal\"><span style=\"font-weight: 400;\">How many billable hours are \u201cnormal?\u201d<\/span><\/a><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"#to-bill-or-not-to-bill\"><span style=\"font-weight: 400;\">To bill or not to bill?<\/span><\/a><\/li>\n<\/ul>\n<hr \/>\n<p><span style=\"font-weight: 400;\">Learn 7 ways a phone system can help your small business look bigger.<\/span><\/p>\n<p class=\"p1\">\n<div class=\"download-form-widget standart-download-form\" data-url=\"http:\/\/netstorage.ringcentral.com\/ebook\/how_to_run_a_remote_legal_practice.pdf\" data-id=\"6a45dc7306604\" id=\"6a45dc7306604\">\n\t\t<button tabindex=\"on\"  on=\"tap:6a45dc7306604.toggleClass(class='open')\" class=\"open-modal-download-action download-form-button\" type=\"submit\">\ud83c\udf1f Get the guide<\/button><\/p>\n<div class=\"download-form-modal\">\n<div class=\"download-form-modal-body\">\n<div class=\"download-form-modal-content\">\n<div class=\"download-form-modal-title\">\ud83d\udcf1 Learn how to run a remote-friendly law firm.<\/div>\n<form class=\"download-form SMB\" method=\"post\">\n<div class=\"download-form-part\">\n\t\t\t\t\t\t\t<input class=\"download-form-input\" aria-label=\"Full Name\" aria-required=\"true\" aria-invalid=\"false\" type=\"text\" name=\"fullname\" placeholder=\"Full Name\" data-dl-events-hover=\"true\" data-dl-element=\"text\" data-dl-additional-info=\"download form\">\n\t\t\t\t\t\t<\/div>\n<div class=\"download-form-part\">\n\t\t\t\t\t\t\t<input class=\"download-form-input\" aria-label=\"Email (please enter a work email address)\" aria-required=\"true\" aria-invalid=\"false\" type=\"email\" autocomplete=\"on\" name=\"email\" placeholder=\"Email (please enter a work email address)\" data-dl-events-hover=\"true\" data-dl-element=\"email\" data-dl-additional-info=\"download form\">\n\t\t\t\t\t\t<\/div>\n<div>\n\t\t\t\t\t\t\t<input type=\"hidden\" name=\"popup_form\" value=\"1\">\n\t\t\t\t\t\t<\/div>\n<div><input type=\"hidden\" name=\"Asset_ID__c\" value=\"ODAM-01547\" class=\"download-form-input\"><\/div>\n<div>\n\t\t\t\t\t\t\t<input type=\"hidden\" name=\"Lead_Entry_Source__c\" value=\"RC Blog\" class=\"download-form-input\"\/>\n\t\t\t\t\t\t<\/div>\n<div class=\"download-form-part\">\n\t\t\t\t\t\t\t<button class=\"download-form-submit\" type=\"submit\" data-dl-element=\"button\" data-no-auto-dl=\"true\" data-dl-additional-info=\"download form\" data-dl-name=\"Get it now\">Get it now<\/button>\n\t\t\t\t\t\t<\/div>\n<\/p><\/form>\n<p> \t\t\t\t\t<button on=\"tap:6a45dc7306604.toggleClass(class='open')\" role=\"button\" tabindex=\"0\"  class=\"download-form-modal-close\"><\/button>\n\t\t\t\t<\/div>\n<div class=\"download-form-modal-thank\">Enjoy! <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/p>\n<h2 id=\"billable-hours\"><span style=\"font-weight: 400;\">What are billable hours?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The term \u201cbillable hours\u201d can sometimes cause confusion because people in many different professions charge by the hour for their work through invoicing.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Building contractors and freelancers, for example, could be said to work something akin to billable hours on a daily basis.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But this isn\u2019t exactly the same thing. Only a select few industries actually have requirements for billable hours. Within the legal profession, for example, attorneys are required to complete a set number of billable hours each week. Failing to meet the quota could spell trouble.\u00a0<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Billable hours: The true meaning\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">It\u2019s important to understand billable hours vs. actual hours.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Billable hours means the number of hours worked that require compensation. In other words, they\u2019re the hours that you bill clients for, and they pay directly.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Actual hours, on the other hand, are all the hours that an employee spends working rather than the hours that can be billed for. So, actual hours encompass both billable hours and non-billable hours. They include time spent doing administrative work and other tasks that the client can\u2019t directly be billed for.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For lawyers, consultants, accountants, and other professionals with billable work, client payments don\u2019t apply to other work tasks done for the firm to which they\u2019re professionally affiliated.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Billable hours apply only to clients. They\u2019re designed to ensure financial compensation for any time spent on individual client cases. The bill, in most cases, must, therefore, be paid by the client themself. Billable hours are, as a result, extremely lucrative for firms.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Now that we\u2019ve explained the meaning of billable hours, let\u2019s take a look at a few examples.<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><span style=\"font-weight: 400;\">Task<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Is it billable?<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Answering your manager\u2019s email<\/span><\/td>\n<td><span style=\"font-weight: 400;\">No<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Answering a client\u2019s email<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Yes<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Employee annual review<\/span><\/td>\n<td><span style=\"font-weight: 400;\">No<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Client meeting (remote or in person)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Yes<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2 id=\"difference-between-billable-and-non-billable-hours\"><span style=\"font-weight: 400;\">What is the difference between billable and non-billable hours?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">So, we know how important it is to keep track of our billable hours. But with such busy work calendars, how can we differentiate between our billable and non-billable hours effectively?\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In simple terms, if you\u2019re working for a client who\u2019s paying you by the hour, it\u2019s billable. If you\u2019re working on non-client specific tasks, it\u2019s non-billable.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Let\u2019s look at some situational examples:\u00a0<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Billable<\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Client correspondence<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Planning for a client<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Phone calls<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"https:\/\/www.ringcentral.com\/us\/en\/blog\/checking-in-email-alternatives\/\"><span style=\"font-weight: 400;\">Emails with clients<\/span><\/a><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Communicating via text message<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Video meetings<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Client revisions<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Working on any aspect of a client\u2019s project<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Research for a client<\/span><\/li>\n<\/ul>\n<h3><span style=\"font-weight: 400;\">Non-billable\u00a0<\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Business marketing<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Internal team emails<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Networking, law school, or training events<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Internal team meetings<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Business planning<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Administrative tasks\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Proposals<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Liaising with new clients or client development<\/span><\/li>\n<\/ul>\n<h2 id=\"how-do-you-calculate-billable-hours\"><span style=\"font-weight: 400;\"><a id=\"how\"><\/a><br \/>\nHow do you calculate billable hours?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Knowing how to calculate billable hours is vital if your business has to deal with them. So, let\u2019s take a look at the standard process: .<\/span><\/p>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Set an hourly rate.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Track every billable hour on a timesheet.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Add up your billable hours.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Multiply total billable hours by billing rate.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Add fees or taxes to the client\u2019s invoice.\u00a0<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">It can be difficult for lawyers, consultants, accountants, and other professionals who combine billable and non-billable time to keep track. Luckily, these days, there are lots of tools out there to make keeping on top of billable hours that little bit easier.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here are some ways to use software and solutions to help track billable hours accurately.\u00a0\u00a0<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Create a billable hours chart in Excel<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Excel has a template specifically designed for managing your billable hours. You can use this billable hour chart to input the hours worked and the pay rate for each client on any given work day, with time-in, time-out tracking.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Use a dedicated billable hours calculator\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">A digital <a href=\"https:\/\/traqq.com\/\">time tracker<\/a> or manager is designed to record your working hours. Using a billable hour calculator like this helps to simplify billing clients and provides data to support your invoicing.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Such tools are ideal if you offer legal services or other work where keeping accurate records of billable hours is crucial.\u00a0<\/span><\/p>\n<div class=\"tip\">\n<div class=\"tip-heading\"><b>\ud83d\udca1 Pro-tip:\u00a0<\/b><\/div>\n<p><span style=\"font-weight: 400;\">See how <\/span><a href=\"https:\/\/www.ringcentral.com\/us\/en\/blog\/mhps-law-customer-story\/\"><span style=\"font-weight: 400;\">MHP&amp;S,<\/span><\/a><span style=\"font-weight: 400;\"> a remote-friendly law firm, easily manages its billing by integrating a time-tracking app with its communication platform (which allows them to have video <\/span><a href=\"https:\/\/www.ringcentral.com\/us\/en\/blog\/how-to-conference-call-on-android\/\"><span style=\"font-weight: 400;\">conference calls<\/span><\/a><span style=\"font-weight: 400;\">, message each other, and more).<\/span><\/p>\n<\/div>\n<p><span style=\"font-weight: 400;\">Time trackers like <\/span><a href=\"https:\/\/www.ringcentral.com\/apps\/timeminer\"><span style=\"font-weight: 400;\">Time Miner<\/span><\/a><span style=\"font-weight: 400;\"> can be integrated into your communication app to track how much time is being spent on calls, text messages, and meetings.\u00a0<\/span><span style=\"font-weight: 400;\">This way, your communication platform (which you\u2019re already using to make phone calls, <\/span><a href=\"https:\/\/www.ringcentral.com\/video-call.html\"><span style=\"font-weight: 400;\">video calls<\/span><\/a><span style=\"font-weight: 400;\">, and so on)automatically logs all your client communication and helps you manage any respective billing efficiently.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To make it easier to track your billable hours, streamline the number of apps you use. Specifically, instead of using separate apps for video <\/span><a href=\"https:\/\/www.ringcentral.com\/free-conference-call.html\"><span style=\"font-weight: 400;\">conference calling<\/span><\/a><span style=\"font-weight: 400;\"> and messaging, try to find a versatile app that can provide different communication channels in one place.<br \/>\n<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This is how RingCentral\u2019s desktop and mobile app works, as a quick example:<\/span><\/p>\n<div class=\"rc_custom_video\"><a class=\"rc_custom_video__link\" href=\"https:\/\/www.youtu.be\/9xaL89hYeFs\">\n\t\t            <picture><source srcset=\"https:\/\/i.ytimg.com\/vi_webp\/9xaL89hYeFs\/maxresdefault.webp\" type=\"image\/webp\"><img decoding=\"async\" class=\"rc_custom_video__media\" src=\"https:\/\/i.ytimg.com\/vi\/9xaL89hYeFs\/maxresdefault.jpg\" alt=\"\">\n\t\t            <\/picture>\n\t\t        <\/a><br \/>\n\t\t        <button class=\"rc_custom_video__button\" aria-label=\"Play video\"><svg width=\"68\" height=\"48\" viewBox=\"0 0 68 48\"><path class=\"rc_custom_video__button-shape\" d=\"M66.52,7.74c-0.78-2.93-2.49-5.41-5.42-6.19C55.79,.13,34,0,34,0S12.21,.13,6.9,1.55 C3.97,2.33,2.27,4.81,1.48,7.74C0.06,13.05,0,24,0,24s0.06,10.95,1.48,16.26c0.78,2.93,2.49,5.41,5.42,6.19 C12.21,47.87,34,48,34,48s21.79-0.13,27.1-1.55c2.93-0.78,4.64-3.26,5.42-6.19C67.94,34.95,68,24,68,24S67.94,13.05,66.52,7.74z\"><\/path><path class=\"rc_custom_video__button-icon\" d=\"M 45,24 27,14 27,34\"><\/path><\/svg><br \/>\n\t\t        <\/button>\n\t\t    <\/div>\n<h3><span style=\"font-weight: 400;\">Other software\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">There are many other software options out there, designed to aid resource and practice management.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This software not only helps offices keep track of billable hours but also makes other useful tasks easier, like productivity analysis, costing, reports, invoicing, and accounting.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here are a few options:<\/span><\/p>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Saviom\u2014best for resource management and workforce planning.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">QuickBooks Time\u2014best for time tracking and custom billing.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">QuickBooks\u2014best for invoicing and cash-flow management.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">PracticePanther\u2014best for secure legal management.<\/span><\/li>\n<\/ol>\n<h3><span style=\"font-weight: 400;\">Don\u2019t let hours go to waste: Use a template<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Maintaining a template to track your billable hours accurately is also a useful idea. After all, anything that isn\u2019t tracked didn\u2019t really happen. In other words, it gets wasted and that means hours or days of productivity will be lost.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Say you\u2019re a lawyer. You\u2019re working long weeks, upward of 70 hours. Keeping track of what\u2019s billable and what\u2019s not while working can be a struggle. Using a billable hours tracker, timekeeping app, or <\/span><a href=\"https:\/\/www.ringcentral.com\/us\/en\/blog\/apps-for-lawyers\/\"><span style=\"font-weight: 400;\">productivity app<\/span><\/a><span style=\"font-weight: 400;\"> is a smart choice. It\u2019s a great way to avoid letting work hours go uncompensated. <\/span><\/p>\n<h2 id=\"why-you-should-track-billable-hours\"><span style=\"font-weight: 400;\">Why should you track billable hours?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">There are a variety of benefits for your company when you track employees\u2019 billable hours:<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Accurate invoicing<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Providing clients with accurate invoices benefits both you and your client.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The client will get a clear overview of exactly what they\u2019re paying for. They\u2019ll know the time spent on each specific task that you\u2019ve done for them and can clearly see where their money is going. This instills the client\u2019s trust in your company making them more likely to use your organization in the future.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It also means that you can use data about previous billable hours that your company has invoiced to provide accurate estimates for any new work that clients would like your organization to do.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Tracking billable hours also means that staff receive fair compensation for the time and work that they\u2019ve put into clients\u2019 projects.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Improve your team management<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Knowing exactly who\u2019s spending what time doing certain tasks can allow you to delegate tasks more appropriately. You\u2019ll be able to allocate work accordingly when you can see the time spent on billable hours.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Determine profitability<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">This is a big advantage of tracking billable hours. When you\u2019re able to view accurate data about your employees\u2019 time, you\u2019ll be able to see whether or not you\u2019re billing for more hours than the amount you\u2019re spending.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">So, tracking billable hours offers a great insight into how much money you\u2019re making (or losing) on every client\u2019s projects.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Track employee efficiency<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">By keeping track of each employee\u2019s billable hours, you\u2019ll be able to see how efficient each team member is. That way, you\u2019ll know whether or not they\u2019re performing as expected.<\/span><a id=\"normal\"><\/a><\/p>\n<h2 id=\"how-many-billable-hours-are-normal\" class=\"heading h2\"><span style=\"font-weight: 400;\">How many billable hours are \u201cnormal?\u201d<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">There\u2019s no one-size-fits-all answer to this question. How many billable hours you aim for will depend on your industry and professional position. It\u2019s also possible to monitor the utilization rate of employees working billable hours.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The utilization rate calculates billable time as a percentage of an employee\u2019s total working hours. In other words, the utilization rate is a metric of overall productivity. It\u2019s calculated by dividing the total billable hours by the total hours available and then multiplying by 100.<\/span><\/p>\n<p style=\"text-align: center;\"><span style=\"font-weight: 400;\">Utilization Rate = (Total Billable Hours\/Total Hours Available) x 100<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">The law firm example: How many billable hours in a year?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">To maximize on an attorney\u2019s billable hours, some law practices resort to increasing their overall work hours to upward of 70 or 80 hours per week.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A billable hours\u2019 quota of over 2,000 hours per annum is not unheard of. It\u2019s, therefore, essential that law firms streamline their operations for better time management. <\/span><\/p>\n<h2 id=\"to-bill-or-not-to-bill\" class=\"heading h2\"><span style=\"font-weight: 400;\">To bill or not to bill?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Now that you\u2019ve got the lowdown on billable hours, it\u2019s time to make use of your new (or maybe not so new) knowledge. To bill or not to bill? That is the question.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Knowing exactly which tasks constitute billable hours and how to track billable hours means that you\u2019ll be ready and set to optimize everything from workflows to invoicing. So, really it\u2019s a no brainer. Tracking billable hours is the way to go.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">FAQs<\/span><\/h2>\n<h3><span style=\"font-weight: 400;\">What\u2019s the difference between billable and non-billable hours?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Billable hours are those you invoice to a client for services you\u2019ve completed for them. This can mean anything from working on a named project to corresponding with the client or meeting them face-to-face. Non-billable hours are those you spend doing non-client-related work for your company.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">Apart from ensuring accurate invoicing, are there other advantages to tracking billable hours?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Yes. It\u2019s beneficial for the company to be able to monitor employee performance. One downside of charging by the hour is that it can unfairly penalize workers who are more efficient, since they can complete much more work in the same amount of time as a less industrious colleague. Tracking billable hours in conjunction with other workforce management metrics can help management assess who their top performers are.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Many professional industries work in billable hours. But knowing how to effectively track them can be a tricky business. Billable hours are lucrative for firms\u2014sometimes, it\u2019s necessary for employees to reach ambitious quotas. As a result, maximizing efficiency and productivity is essential. It goes without saying that no staff member wants their hard work going &#8230;<\/p>\n","protected":false},"author":29,"featured_media":56551,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[17901,18836,24119],"tags":[],"class_list":["post-45627","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-leadership","category-financial-services","category-law"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v19.3 (Yoast SEO v27.2) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Billable Hours Explained | RingCentral Blog<\/title>\n<meta name=\"description\" content=\"Boost efficiency and get paid for your time. 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