It’s what every law firm leader wants for their practice – more billable time, faster invoicing, and quicker client payments. Here are 7 practical ways to increase legal billing system, law firms can implement effective strategies and processes that transform these lofty goals into business reality.
From accurate time tracking to streamlined billing procedures that provides lawyers with the resources they need for increased profitability.
More Billable Time
For most law firms, the billable hour is the basis for compensation. But when the money coming into the firm doesn’t match the hours and effort being put into casework, it can make for a frustrating dilemma.
This disconnect often stems from lawyers wasting potential billable hours by working on nonbillable tasks instead. Good time and billing software recognizes the value of billable hours, which is why they offer numerous features to help lawyers identify and maximize their most profitable tasks.
Lawyers who fail to accurately track their time have no clue how they truly spend the minutes of their day, but this information is essential to making informed decisions about profitable vs. nonprofitable tasks.
The most effective time tracking involves recording tasks as they are completed, minimizing the risk of forgetfulness and inaccuracies. Busy lawyers do their firms a disservice when they wait until the end of the day, the week, or even the billing cycle to track their daily time. The memory is already unreliable, and these lawyers are bound to miss out on billable tasks when they delay in tracking their time.
Waiting is completely unnecessary. Attorneys can conveniently access the time tracking clock from their desktop computer or from the app on their smart device. With this level of mobility, attorneys and staff members can quickly record their time from virtually anywhere in the world. Even with no available internet connection, they can track time within the app and sync it with the office system once a connection becomes available. Technology this available and easy-to-use means no billable time should go untracked.
When searching for lost billable time, law firms need the tools to review what is currently happening within the firm, offering numerous reporting capabilities to provide firm leaders with an in-depth look at how timekeepers are billing and affecting the firm’s bottom line.
With 31 different reporting options, covering everything from billable hours and accounts receivable to expense tracking and performance, these detailed reports that can be viewed in 10 available formats. Law firm leaders can use these reports to identify lost opportunities for increased billable hours.
Armed with this valuable information, firms can make the changes they need to maximize billable hours, such as:
- Assigning the most profitable tasks to the highest billing attorneys
- Delegating nonbillable tasks to the support staff
- Implementing automation technology that handles less profitable tasks more efficiently
Minimum Billing Increments
Minimum time increments help attorneys secure compensation for all time spent on a matter - even those three-minute client telephone calls. Allows users to manually set minimum billing increments. Whether law firms use the smallest available increment of .0007 or a more common option like .25 or .10, making it easy to customize the desired billing increment.
Legal Project Management
Legal Project Management (LPM) provides law firms with the most efficient manner of handling even the most complex cases. It gives attorneys a greater awareness about each step of handling a matter, allowing them to better identify all available billable hours.
LPM requires planning and mapping out a path for firm members to follow. For similar matters previously handled, reporting tools allow for the review of those cases for key tasks, overall costs, and time spent.
This detailed analysis helps law firms identify all billable and non-billable tasks required to handle the current matter. Then, firm leaders can make strategic decisions about which members of the firm are best suited to handle which tasks for maximum profitability.
Sending Invoices Quickly
For law firms to send invoices quickly and efficiently, they need procedures in place that promote accurate time tracking and easily convert that tracked time into comprehensive invoices. Without the necessary tools, invoicing can be overly time consuming, problematic, and just burdensome for staff members to complete.
The tool law firms need to minimize the time between completion of a task and invoicing a client for it. Here’s why:
Accurate and Timely Tracking
Lost records and inaccurate time keeping are two of the biggest culprits leading to late invoices. Every minute staff members spend searching for time tracking records is a minute of delayed invoicing.
That’s why time tracking tools are so important to the vitality of a law firm. The convenience promotes immediate time tracking, which in turn leads to greater accuracy. When time is tracked quickly and accurately, there is no need for staff members to waste valuable hours searching for and gathering time tracking records. They can quickly get invoices completed and sent to clients for payment.
- Invoicing Shortcuts
- Faster Payments
- Detailed Invoicing
- Accurate Invoices
- Ease of Access
- Payment Reminders
- Online Payment Options
To learn more and further understand how you can increase billable time
Download TimeSolv Free Resource on