Written by

Jennifer Carlson

April 21, 2025

Edited by

Kristen Cramer

Fact-checked by

Tara Farmer

What is a billable hour?

Billable hours are the time professionals spend working on a project, for which they can invoice their client. These hours are common in industries like law, consulting, accounting, and freelancing.

Tasks qualify as billable hours when they’re directly related to a case, like client meetings, research, or paperwork. Tracking billable hours ensures accurate invoicing and fair compensation. The following table shows which tasks count and which normally don’t:

Sample billable hours chart

A billable hours chart helps attorneys and other professionals track time spent on billable tasks and ensures accurate invoicing. Law firms also use it to identify inefficiencies in associates' workflows. The following chart gives an example of what a lawyer might use to track their billable hours:

Billable hours calculator

Most lawyers track their time in 6-minute increments, which is 10% of their hourly rate. To calculate billable hours, multiply the increment below times the hourly rate.

Since many lawyers charge $150 to $400 per hour, a phone call lasting 0.2 hours would cost $30 to $80 on average. Drafting a letter for half an hour would cost $75 to $200.

Benefits of tracking billable hours by month

Professionals can track billable hours daily, weekly, monthly, or even yearly. However, tracking monthly is often the preferred method. Here is a list of benefits of tracking billable hours:

• Accurate invoicing: Tracking billable hours ensures accurate and transparent billing, fostering client trust and satisfaction.

• Profitability analysis: Monthly tracking helps assess project profitability and identify high-value clients or projects.

• Improved estimates: Historical data from tracked hours helps create more accurate project estimates and quotes for new projects.

• Performance evaluation: Data from tracked hours aids in evaluating employee performance and productivity.

• Resource optimization: Tracking billable hours identifies areas where resources can be better allocated to maximize billable utilization.

• Enhanced productivity: Employees are motivated to be efficient as their earnings correlate with their working hours.

• Financial stability: Accurate tracking supports financial planning and budgeting by providing clear revenue projections.

Average billable hours for attorneys

To maximize billable hours, attorneys often work 70+ hours per week to meet the annual minimums of 1,700 to 2,300 billable hours required at many law firms. This workload far exceeds a standard work week and reflects the intense demands of the profession.

If an attorney works for 40 hours weekly for all 52 weeks of a year, they’d log 2,080 hours. However, since many of those hours would be non-billable, many lawyers must work beyond 40 hours to meet billable targets, often sacrificing vacations and sick leave to fulfill their professional obligations.

FAQs about billable hours

What percent of lawyers’ hours are billable?

On average, lawyers bill for approximately 30% of the hours they work. For an 8-hour workday, this translates to about 2.3 billable hours. They then spend the remaining time on non-billable tasks such as administrative work, business development, or internal meetings, which do not directly contribute to client billing.

With practice and experience, many lawyers develop more efficient methods and systems that allow them to bill for closer to 60% to 70% or more of the hours they work.

How many billable hours are in a year?

The number of billable hours in a year for lawyers ranges from 1,700 to 2,300+ hours on average, depending on the firm’s size and the attorney's role. First-year associates in large law firms often target around 1,500 to 1,900 billable hours annually.

How do billable hours work?

Billable hours represent the time lawyers spend working on tasks directly related to a client’s case, which they charge the client for at an agreed-upon hourly rate. Lawyers typically track their time in six-minute increments (1/10th of an hour) for accuracy.

Firms often require attorneys to meet annual billable hour quotas, ranging from 1,700 to 2,300 hours per year. Tracking tools and billable hours charts help streamline this process, ensuring accurate invoicing and efficient time management.

Strategies for managing billable hours

Effectively managing billable hours is crucial for lawyers to maintain profitability, ensure client satisfaction, and optimize workflow. Implementing these strategic practices can help attorneys maximize their productivity and accuracy:

• Log hours as you work.

• Use detailed, specific descriptions in entries.

• Target a specific number of billable hours each day.

• Focus on high-value activities first.

• Delegate administrative tasks.

• Use tracking software, online calendars, or Excel sheets for tracking.

• Record tasks separately for transparency.

• Allocate focused work periods.

• Analyze data to improve efficiency.

• Set clear billing expectations with clients.

• Streamline workflows with automation tools.

Questions to ask a lawyer or attorney

Here is a list of questions a potential client should ask a lawyer about their billable hours:

• What is your hourly rate? Do other team members have different rates?

• How do you track and calculate billable hours?

• Do you bill any tasks at a flat rate instead of hourly?

• Will you charge me for work done by paralegals or assistants? If so, at what rate?

• Can you provide an estimate of the total cost for my case or its phases?

• How often will I receive invoices, and will they include detailed descriptions of billed tasks?

• Are there additional costs beyond billable hours, such as filing fees or travel expenses?

• What happens if the case takes longer than expected?

• Will you notify me of any additional charges?

• Do you offer alternative billing arrangements, such as fixed fees or contingency fees?

• How do you ensure transparency and avoid overbilling for time spent on my case?