How Are Billable Hours Calculated?

What percentage of hours should be billable?

In this case, the client will pay the consultant for eight hours even if they have spent a total of ten working hours.

Billable hours can be of any percentage value e.g.

80%, 90%, or even 100%.

In 100% billable hours, the client pays a consultant for every hour they spend on the project..

What is the difference between billable and non billable hours?

Billable hours include those tasks where an attorney is working on an actual matter for a client. Non-billable hours include tasks that must be done but aren’t directly attached to a matter, such as administrative tasks.

How do I calculate billable hours in Excel?

You can use an Excel spreadsheet to keep track of your billable hours: Just list the start time in one column, the end time in a second column and then subtract the first from the second.

What is a lot of billable hours?

It’s not a complicated equation – the more hours you bill, the more revenue for the firm. Firms “average,” “target” or “minimum” stated billables typically range between 1700 and 2300, although informal networks often quote much higher numbers.

How do you manage billable hours?

How to Track Billable HoursSet Your Hourly Rate. Before you start tracking your billable hours, you first have to determine the hourly rate you’ll charge clients for your work. … Determine an Invoicing Schedule. … Create a Time Log. … Track Your Hours by Project. … Calculate Your Total Hours. … Create a Detailed Invoice.