Overview
Billable hours best practices ensure accurate client billing, protect revenue, maintain professional standards, and provide transparency. Proper time tracking is essential for lawyers, consultants, accountants, and other professionals who bill by the hour.
Core Principles
1. Track Everything
- Record all client work, no matter how small
- Capture time immediately or within same day
- Include emails, calls, research, and thinking time
- Don't rely on memory—use timers or real-time tracking
2. Be Specific
Good: "Reviewed contract sections 3-7 re: liability clauses; drafted memo to client on risks (2.3 hours)"
Bad: "Worked on contract (2 hours)"
3. Track in Minimum Increments
- Common: 6-minute (0.1 hour) increments
- Some firms: 15-minute minimums
- Round ethically (not always up)
4. Separate Billable from Non-Billable
Billable:
- Direct client work
- Client communication
- Research for client matter
- Document review and drafting
Non-Billable:
- Administrative tasks
- General learning/CLE
- Business development
- Internal meetings
- Billing and collections
Time Tracking Methods
Real-Time Tracking
- Start timer when beginning client work
- Most accurate method
- Prevents forgotten time
- Tools: Clio, TimeSolv, Harvest
Contemporaneous Notes
- Write down time spent immediately after task
- Include task description
- Still very accurate if done promptly
Reconstruction (Least Preferred)
- End of day, recreate what was done
- Less accurate, not recommended
- Only if no other option
Documentation Standards
Task Descriptions Should Include:
- What: Specific action taken
- Why: Purpose or issue addressed
- Result: Outcome or next steps (optional)
Examples:
- "Telephone conference with opposing counsel re: settlement terms"
- "Research state law on non-compete enforceability; drafted memo"
- "Reviewed and revised contract sections 1-5 per client feedback"
What NOT to Include:
- Excessive detail (invades work product)
- Personal opinions
- Confidential strategy (invoices may be discoverable)
- Vague descriptions
