Tracking billable hours means recording the time spent on work that can be charged to a client or matter. For law firms, accurate time tracking supports clearer invoices, better matter management, and stronger visibility into where professional time is being spent.
The most reliable approach is to capture time close to when the work occurs, connect each entry to the correct matter, and review the description before the entry moves into billing.
What Are Billable Hours?
Billable hours are the portions of a lawyer's or legal professional's working time that may be charged to a client under the firm's engagement terms and the client's billing guidelines.
Common examples include:
Billable work category | Common examples |
Documents | Drafting, revising, or reviewing legal documents |
Research and strategy | Legal research and development of matter strategy |
Hearings and negotiations | Preparation for hearings, depositions, or negotiations |
Meetings and communications | Client meetings and substantive communications with counsel or other parties |
Matter support | Reviewing correspondence, permitted travel, and client-approved matter tasks |
Not every work activity is billable. Internal meetings, administrative work, training, business development, and general firm management are often treated as non billable unless a specific arrangement says otherwise.
Firms should confirm whether an activity is billable under the engagement letter, outside counsel guidelines, and any client specific billing rules.
How to Track Billable Hours Step by Step
A consistent workflow makes timekeeping easier and reduces the amount of work that must be reconstructed later.
Step 1: Capture the activity when it happens
Record the activity during the work or immediately after it ends. The longer the delay, the more likely it is that short calls, emails, research tasks, and document reviews will be forgotten.
Useful capture methods include:
Capture method | Best use |
Timer | Focused work with a clear start and finish |
Immediate entry | A completed task that can be described at once |
Calendar review | Meetings and scheduled work |
Document and email review | Drafting, revision, correspondence, and short follow-up work |
Passive capture | Interrupted or easily forgotten activity across connected tools |
Brief notes | Work that needs context before final review |
Step 2: Select the correct client and matter
Every billable entry should be linked to the correct client and matter. Incorrect matter selection can create billing delays, internal corrections, and client questions.
Before saving the entry, confirm:
Client name
Matter name or number
Responsible lawyer or team, when required
Office or practice area, when required
Billing arrangement, when relevant
Step 3: Record the duration accurately
Enter the actual time spent and apply the firm's approved billing increment. Many law firms use decimal increments, but requirements vary.
For example, a firm using six minute increments may record:
Actual time | Decimal entry |
Up to 6 minutes | 0.1 |
7 to 12 minutes | 0.2 |
13 to 18 minutes | 0.3 |
19 to 24 minutes | 0.4 |
25 to 30 minutes | 0.5 |
31 to 36 minutes | 0.6 |
37 to 42 minutes | 0.7 |
43 to 48 minutes | 0.8 |
49 to 54 minutes | 0.9 |
55 to 60 minutes | 1.0 |
The exact rounding policy should be defined by the firm and applied consistently. Client guidelines may require a different method or prohibit certain rounding practices.
Step 4: Write a clear description
A strong time entry explains what was done, the subject of the work, and the purpose when it is useful.
A practical structure is:
Action + subject + purpose or outcome
Examples:
Reviewed draft services agreement and prepared comments regarding limitation of liability provisions.
Researched jurisdictional requirements for filing motion to compel.
Conference with client regarding settlement options and next steps.
Revised witness outline in preparation for deposition.
Reviewed opposing counsel correspondence and prepared response regarding discovery schedule.
Avoid vague descriptions such as:
Worked on matter
Attention to file
Emails
Research
Conference
Various tasks
Step 5: Add required billing codes
Some clients require UTBMS, ABA, task, activity, or expense codes. Select the code that best matches the work performed and confirm that it is allowed under the applicable billing guidelines.
The written description should still explain the work. A code does not replace a clear narrative.
Step 6: Review the entry before submission
Before saving, releasing, or submitting an entry, check:
Review area | Questions before saving |
Matter and date | Is the matter correct, and did the work occur on this date? |
Time | Is the duration reasonable for the activity? |
Description | Is the narrative specific without unnecessary confidential detail? |
Billing rules | Does the entry follow client guidelines and include required codes? |
Entry structure | Should unrelated work be separated into multiple entries? |
Step 7: Complete an end of day review
A short daily review can recover work that was not captured during the day.
Compare the time entries against:
Activity source | Work it may reveal |
Calendar and calls | Meetings, conferences, and scheduled events |
Email and messages | Substantive communications and follow-up work |
Documents and research | Drafting, review, file activity, and browser-based research |
Notes and task lists | Work completed between larger scheduled activities |
Collaboration tools | Meetings, messages, and matter coordination |
The goal is to identify missing work while the day is still easy to remember.
Billable Hour Tracking Example
Consider a lawyer who completes the following work:
Work performed | Duration | Clear entry example |
9:00 AM: Review client email and attachments | 0.2 | Reviewed client correspondence and supporting documents regarding proposed transaction timeline. |
9:15 AM: Revise agreement | 1.1 | Revised purchase agreement regarding representations, indemnification, and closing conditions. |
10:30 AM: Client call | 0.5 | Conference with client regarding agreement revisions and negotiation priorities. |
11:15 AM: Legal research | 0.8 | Researched enforceability of limitation of liability clause under applicable state law. |
1:30 PM: Draft response | 0.7 | Drafted response to opposing counsel regarding the matter issue under review. |
This approach creates separate, understandable entries that show what work occurred and why it related to the matter.
Common Ways Billable Time Gets Missed
Billable work often disappears in small pieces. A lawyer may remember a two hour drafting session but overlook several short activities that happened around it.
Common sources of missed time include:
Where time disappears | Typical examples | Better control |
Short communications | Client calls, email reviews, and quick responses | Review calls and sent messages daily |
Document work | Revisions and brief document reviews | Compare entries with document activity |
Work between meetings | Research and strategy discussions | Capture activity close to when it occurs |
Work away from the desk | Mobile, evening, and permitted travel activity | Use connected activity sources for review |
Matter switching | Small tasks across several matters | Review each active matter before ending the day |
A reliable system should make these activities visible without requiring the lawyer to reconstruct every detail from memory.
Manual, Timer Based, and Passive Tracking
Law firms can use several timekeeping methods. Each has strengths and limitations.
Method | Best use | Main limitation |
Manual entry | Simple workflows and immediate entry from notes | Easy to delay or forget |
Timers | Focused tasks with a clear start and finish | Interruptions can make timers inaccurate |
Calendar review | Meetings and other scheduled work | Misses unscheduled activity |
Passive capture | Short, interrupted work across connected systems | Still requires human review |
Combined workflow | Firms that need broad capture plus deliberate approval | Requires a consistent review routine |
For many law firms, the most practical model combines activity capture with timekeeper review. The system helps identify potential work, while the lawyer confirms the matter, duration, description, and billing treatment.
Best Practices for Tracking Billable Hours
Enter time throughout the day
Frequent entry reduces memory gaps and makes descriptions more accurate.
Keep matters easy to identify
Use clear matter names, numbers, and recent matter lists so timekeepers can select the right file quickly.
Separate distinct tasks
When different activities have different purposes, task codes, or billing treatment, separate them into individual entries.
Follow client billing guidelines
Review outside counsel guidelines and engagement terms before billing unusual activities, travel, administrative work, or multiple professionals on the same task.
Use consistent description standards
Provide examples of acceptable and unacceptable narratives. Consistency makes internal review faster.
Review short activities
Small tasks can add up. Include calls, brief document reviews, short research tasks, and substantive emails when they are billable.
Avoid unnecessary block billing
Combining multiple unrelated tasks into one entry can make the invoice harder to review. Follow the client's rules on block billing and task separation.
Protect confidential information
Descriptions should be clear without revealing privileged strategy, sensitive personal information, or unnecessary confidential details.
Review before the billing cycle closes
Do not wait until prebill review to correct weeks of incomplete entries. Daily and weekly reviews are more efficient.
Daily Billable Hours Checklist
Use this checklist before ending the day:
Review area | Daily check |
Coverage | Review every active matter and compare entries with the calendar |
Communications | Check sent emails, substantive messages, and short calls |
Documents | Confirm documents created, revised, or reviewed |
Entry details | Verify matter, duration, billing increment, and description |
Billing compliance | Add required codes, separate unrelated work, and follow client rules |
Completion | Save or submit every finished entry |
How Law Firms Can Improve Timekeeping Compliance
Timekeeping compliance improves when the process is clear, easy to follow, and connected to the tools lawyers already use.
Law firms can support better compliance by:
Firm practice | Practical implementation |
Clear policy | Define when time is entered and how descriptions and increments work |
Client guidance | Make matter-specific rules and examples easy to find |
Review workflow | Create a consistent process for correction and approval |
Visibility and reminders | Surface missing entries and prompt timekeepers before deadlines |
Training and measurement | Train new users, measure timeliness, and remove unnecessary steps |
The objective is to make accurate timekeeping part of daily legal work instead of a separate administrative project.
Capture Billable Time More Accurately with MIRA
MIRA is an AI powered timekeeping and smart capture product for law firms and professional services teams. It helps capture work activity from connected tools such as Microsoft OneDrive, Outlook Calendar, iManage Work, Chrome, and other supported systems.
Timekeepers can review captured time inside Microsoft Teams, then edit, merge, save, or release approved entries toward connected finance or billing systems. MIRA can also assist with billable descriptions and suggest task or activity codes where relevant.
MIRA focuses on time capture and time entry quality before billing. It does not replace a firm's full billing or practice management platform.
Explore MIRA billable time tracking
For a connected workflow, explore Automated Time Tracking for Lawyers.
Related Resources
Frequently Asked Questions
What is the easiest way to track billable hours?
The easiest method is one that fits the timekeeper's normal workflow. Many lawyers use a combination of activity capture, calendar review, timers, and manual editing. The entry should still be reviewed before it is submitted.
When should lawyers record billable time?
Lawyers should record time during the work or as soon as possible afterward. Daily review is more reliable than reconstructing time at the end of the week or month.
What information should a billable time entry include?
A billable time entry normally includes the date, timekeeper, client, matter, duration, description, and any required billing code.
How detailed should a legal billing description be?
The description should identify the work performed and its subject or purpose. It should be specific enough for review without including unnecessary confidential information.
Are emails billable?
Substantive client or matter related emails may be billable, depending on the engagement terms and client billing guidelines. Administrative or internal emails may be treated differently.
Are internal meetings billable?
Internal meetings may be billable when they are necessary for the client matter and permitted by the client's guidelines. Firms should confirm the applicable rules before billing them.
What is passive time capture, and should every captured activity be billed?
Passive time capture uses activity signals from connected tools to help identify potential work performed. The timekeeper reviews the captured activity and decides how it should be recorded. Not every captured activity should become a billable entry; some work may be non billable, duplicated, administrative, confidential, or excluded by client guidelines.
How can law firms reduce missed billable hours?
Firms can reduce missed time by encouraging prompt entry, reviewing activity sources daily, using passive capture tools, maintaining clear policies, and making the timekeeping process easy to complete.
