Billable / non-billable time, rates and costs

What is billable time

The time for that you charge a client and put them on the invoice is called billable. Its size usually depends on the initial agreement you have with a client.
You may agree not to charge a client for some types of activity like meetings, calls, assessments or bug fixing. Sometimes it can be work hours of particular members. Also, you may want not to bill a client if you go over the agreed budget for a certain period of work.
However, you probably still want to track the total project time, as it has cost for a company and has a great influence on the size of the profit you earn.
A company may have its own internal projects they run by the HR department or for training. Such projects are usually totally non-billable and time tracked there shows where a team spent their time besides client work. 
You can see the billing status (fixed or hourly) of each project in a label next to its name when you go to your Projects page.

Because Everhour is a task-based time tracking tool, you can mark specific tasks inside a billable project as non-billable. This approach is simpler and faster than checking each time entry (as many other systems force you to do), where you have to go entry by entry and ensure to mark the right hours as billable. 
Once you make a task non-billable inside a billable project, you know it does not appear in invoices, but belongs to the project and shows up when you make a report by a project to understand the overall progress. You can see such time in reports using the column Non-Billable time.
To make a task non-billable, click on its title wherever you see it on Everhour and hit the dollar label to make it yellow.

Create an hourly member rate and cost

The first thing to do in order to make your time billable is to set an hourly rate for your team members. A team admin can do it by going to the Members page. A member rate will be taken by default in all project where they track time. You can also see that information if you open a member summary profile.

If a member has no rate, their time is considered non-billable. This is possible to make such time billable for some projects and clients when you set billing method for a project (explained below).
Another type of paid time is called cost - what you pay your employees for the hour of their work. You can’t change the cost per project or per client. You can use it to calculate profit in our reports (explained below).

Create an hourly project and client rate

Admins can mark a project as billable by going to Projects page and simply click on a label near its name that shows its billing status. The options to choose are hourly project rate or hourly member rate.

A flat hourly project rate applies to everybody’s time and overrides default member rates from your settings. If the rate for a member differs from project to project, an admin could check to override default rates and put a different rate. This is also possible to set a rate on a particular project if a member has a zero rate.
When you have a client in Everhour with its separate rate, you can open all client projects, select them and bulk assign a unique rate.

This is important to know that if you add a new project to a client, you need to set the unique rate for it, we don’t link it to the rest of the projects.

Fixed-Fee Billing

There is an option to make a project with a fixed fee. In this case, the billable amount will always stay the same, no matter what rates your teammates have. This type of billing is good when you want to calculate your internal costs against the fee.

Did this answer your question? Thanks for the feedback There was a problem submitting your feedback. Please try again later.