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Chrometa, LLC
1029 H St.
Suite 103
Sacramento, CA 95814
(888) 340-6425
adam@chrometa.com
www.chrometa.com
Top Five Ways to Increase Your Billable Time
(Without Working Longer Hours)
A
recent survey found that law- ment assembly technology (so-called
yers work three hours for ev- expert systems) becomes more com-
ery two they bill. (Google How mon, even these firms need to track
Attorneys Track Their Billable Time, their time to determine the profitabil-
Maximize Your Billable Time, Jan. 5, ity of alternative billing models. They
2010.) need to track attorney productivity as
well as assess whether their fixed fee
Picture a publicly traded company pricing adequately covers their cost
that disclosed it had only billed (for- of doing business.
get about collecting) two-thirds of the
items it sold. The Board of Directors
would reprimand and probably ter- For hourly clients, keeping correct
minate the CEO, CFO, and CTO for
failing to develop processes to pre- timesheets ensures you get paid
vent this catastrophe. Shareholders for all the work you do.
would file class action suits. And yet,
Legal ethics rules also require
this scenario is essentially the current
state of most, if not all, law firms. you to accurately track your time.
This situation exists for many rea-
sons, including: (1) administrative For administrative work, keeping cor-
overhead, (2) reasonable accommo- rect timesheets reflects the amount
dations to the financial circumstanc- of time that you have “invested” in
es of clients; (3) write-offs for poor bettering your firm. If you invest sev-
results, and (4) write-offs for training eral hundred hours in developing a
new associates. And then there is set of automated templates, it is im-
the significant amount of non-billable portant to know how much “human
time spent by lawyers just reconciling capital” was expended in developing
their time — over two hours per week productivity tools. When your clients
on average. But none of these factors ask why you charged $2,000 for an
explain the majority of the unbilled estate plan that took you two hours
time. The reality is there is no legiti- to create with a document assembly
mate business reason for the major- engine, you can point to the hun-
ity of unbilled time. So the question dreds of hours your firm invested to
arises — how can you increase your reach that level of efficiency — and
billable time? more importantly the quality of the
finished product resulting from that
1. Practice Accurate Timekeeping investment.
If you bill clients by the project or
the hour, you need to keep accurate 2. Record Your Time Concurrently
records of time spent on each job. “Attorneys fail to bill from 10 to 25 per-
For hourly clients, keeping correct cent of their legitimate billable hours
timesheets ensures you get paid for as a result of bad recording habits,
Chrometa, LLC
1029 H St.
all the work you do. Legal ethics rules being overwhelmed, disorganization,
Suite 103 also require you to accurately track and poor team management,” writes
Sacramento, CA 95814 your time. Dustin Cole, president of Attorneys
(888) 340-6425 Master Class. This means that a firm
adam@chrometa.com A number of firms have switched to with $1 million in gross billings leaves
www.chrometa.com flat rate or fixed fee billing. Technically, as much as $250,000 per year on the
these firms don’t need to “track their table for work performed but never
time.” However, until the use of docu- billed.
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Top Five Ways to Increase Your Billable Time
(Without Working Longer Hours)
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Top Five Ways to Increase Your Billable Time
(Without Working Longer Hours)
report of your phone logs and auto- basically conduct “forensic analysis”
associate telephone numbers with a by reviewing email and documents.
particular client file. Staying late to reconstruct your time
gets old pretty fast. It’s pure admin-
istrative work (i.e., unbillable). Even
Time capture software works worse, it typically results in under-bill-
ing and lost revenue. By tracking your
by automatically recording time concurrently when possible, and
your computer activity — using cost recovery and time capture
what you worked on, when, software as a safeguard, you can re-
duce and even eliminate the need to
and for how long. reconcile your time.
Conclusion
5. Spend Less Time Reconciling You work hard. You’re entitled to ev-
Your Time ery penny you earn. While implement-
You know the drill. You sit around ing the tips in this report may require
for a while and think about the work changing your routine a bit, they’re
you did for the past month. If you are no more onerous than trying to re-
“good” you engage in this reconcili- construct your time and much less
ation at the end of each week. You prone to under-billing.
Seth Rowland, Esq. was named TechnoLawyer Consultant of the Year in 2002 for his
work on document assembly and law practice automation. He is a nationally known
technologist whose company, Basha Systems LLC (www.bashasys.com), has helped
many law firms build customized practice management and workflow solutions. Basha
Systems currently offers consulting services for Amicus Attorney, Time Matters,
Advologix, HotDocs, Exari, and DealBuilder. Please visit Seth’s blog
(www.bashasys.info).
Chrometa, LLC
1029 H St.
Suite 103
Sacramento, CA 95814
(888) 340-6425
adam@chrometa.com
www.chrometa.com
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