CosmoLex includes hourly, fixed fee, and contingency billing methods to support your firm’s various billing needs.
For additional information, see Add and Manage Matters.
The most common billing method, hourly billing requires time tracking at specified rates. Anyone in the firm can be a timekeeper if they are billing the matter for their time.
The typical fraction of an hour is 1/10th (.1 or 6 minute increments), with a minimum for any particular task. For example, a firm might establish that emails have a minimum time of 3/10 (.3) hours.
Hourly billing often includes billing for expenses. Time and expense entries are included in invoices.
Instead of billing based on time, firms may also bill based on specified task rates. Click here to learn more about billing by task rate.
Fixed Fee Billing
Enter your fixed fee on the Add or Edit Matter screen. When you select the billing method, if you choose Fixed Fee, an additional field will display for fee entry.
CosmoLex automatically makes time entered for fixed fee matters Non-billable. This allows you to track time for internal purposes such as profitability tracking and internal time tracking while refraining from impacting your fixed fee arrangement with your client.
Your fixed fee and any expenses you enter will be included on the invoices.
When a matter is taken “on contingency,” the fee is based upon a percentage of the total settlement, judgment, estate administration, or other example.
When you select the billing method on the add or edit matter screen, if you choose Contingency, additional fields will display for percentage and fee entry.
When you select this method, CosmoLex automatically makes any time entered for the matter “Non-billable.” This makes it possible to still track time for internal purposes (profitability tracking, or internal time tracking), but not bill the client for the separate work.
When generating an invoice, the total will consist of this contingency fee and any expense cards you enter.
You may anticipate a fixed fee matter becoming an hourly matter. A matter may include some items best tracked as fixed fees while others are best suited for hourly.
Contact our support team for assistance determining the best way to meet your hybrid billing needs.