How to Bill Hours as a Law Firm Associate
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- เผยแพร่เมื่อ 3 ก.ค. 2024
- HOW TO BILL HOURS AS A LAW FIRM ASSOCIATE//Have you heard about lawyer billable hours but have no idea how billable hours work or how to go about keeping track of billable hours? Not to worry! In this video I cover the best attorney billable hour practices and explain how to bill hours as a lawyer so that you can succeed as a law firm associate! Understanding how much do lawyers work is only part of the equation, the other part is knowing how to bill time as a lawyer to the satisfaction of both the law firm partners and the clients :)
Check out this video to get all the best law firm associate billable hours tips and tricks!
Let me know in the comments below if you have any other questions questions about how to bill hours as a law firm associate! :)
Angela
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Have other questions about working as an associate at a law firm? Ask them below and I'll be happy to share everything I know! :)
Angela Vorpahl Do you have any tips for paralegals? Thanks! Love your videos!
@@ykubba Ooh good question. Do you mean specifically about billing practices, or how to transition from a paralegal to a law student, or more along the lines of how to be an awesome paralegal?
absolutely relevant advice Angela. As a new lawyer i am struggling to be efficient and meet billable hours. Great advice
Hey, Louise! I'm so glad the video was helpful!! I LOVE making new lawyer training videos since I felt like I was SO in the dark when I started working. If there are ever any questions you have please let me know and I'll get those videos made!! :)
One of the partners at my firm literally punched me in the face for doing it wrong for over a year. It was probably the best thing that happened to me because after we ended up settling the lawsuit, I was given enough money to stop working for years if I really wanted to.
Umm I can't tell if you're kidding, but if not that is a truly crazy story!!
Angela Vorpahl No, ma’am. Dude has very serious anger management issues and would yell and curse all day long over the littlest things. It was a very toxic environment.
@@shawnallen1826 Oh my gosh, well thank goodness you got out of there. I know that the legal industry can do crazy things to people, but it obviously should never be allowed to progress to that level.
Angela Vorpahl I absolutely agree. I have since switched to in-house counsel work because, as you can imagine, I’m too traumatized to go back to private practice. I would’ve expected a warning and I wouldn’t even mind getting reprimanded but this was beyond acceptable. The managing partner literally stormed in my office without even knocking, which was not unusual, next thing I know I’m getting cussed out and I got a broken nose. Great. I should’ve left way before it escalated but I was so busy that I didn’t even have time to look for another job. As soon as I got home all I wanted to do was sleep and I was too stressed out to even look for a job anyway.
Shawn Allen I think that was on the news wasn’t it? I think I saw something about that actually.
Great video 👍🏼 I’ve been practicing for 15 years and found this incredibly helpful.
I’ve primarily worked contingency cases the past 12 so billing was a joke but i just joined a new firm (started today, in fact) doing defense work. The billing process is soooooo different!! Thanks for re-teaching an old dog some new and old tricks 😎
Hi Joshua! I'm so glad to hear the video was helpful! Best of luck in your new position!!
Some fantastic advice which is applicable in Kenya where I live and work. I really struggle put in time but this makes it clear. Keep on the great work.
I'm so glad the video was helpful!! And so cool that Kenyan lawyers deal with the same type of billing issues! It's definitely something that's a bit of a gray area here, so I'm glad I could help shed some light on it :)
This is so helpful. Thank you!
Yay!!! I'm so glad!! Billing hours can be so crazy frustrating and confusing without any sort of guidelines or direction!
The examples are always very helpful. Thank you!
I'm so glad to hear it!! 💗
Very informative, thank you
My pleasure! I'm glad the video was helpful!!
much needed video!
I'm so glad to hear it! I know that billing hours is one of those things that feels like it should be really basic, but it's riddled with uncertainties!
This is super helpful. Thank you!
Yay! I'm so glad to hear it!
This is so incredibly helpful. I wish I saw this video when I started billing hours in private practice. I had that uncomfortable conversation with my boss. One thing I would add is that you need to separate times from you learning and getting up to speed on a case from actually doing substantive work. That makes it easier for the partner to write off that time.
That's a great tip! I agree, I was tooootally in the dark for years into practicing law!
thank you! i anticipate feeling overwhelmed on my upcoming first day, so i appreciate this introduction/explanation
You're so welcome!! And congratulations on starting your first job!! What type of law will you be doing? :)
@@AngelaVorpahl Thank you! I'll be at a labor and employment-focused firm, which'll be wild now haha
@@adamgottschalk1907 Very cool! That's so exciting!! Keep me posted on how it goes :)
Such an important video. Thank you!
My pleasure! Are you a currently a lawyer, or headed that way? :)
@@AngelaVorpahl Currently a first year associate in medium/big law.
This video was amazing, thank you!
Excellent!! I'm so glad it was helpful!! :)
Very useful 👌
I'm so glad to hear it! Are you currently a junior associate, or heading that way soon? :)
This is super helpful!
Yay! I'm so glad to hear it! Are you currently working as a law firm associate, or heading that way soon? :)
@@AngelaVorpahl Currently an associate in big law!
@@JSmithHendricks So cool! How are you liking it so far? :)
Thank you for the beautiful video: It would be great if you shared your opinion on what features are the most important when you choose time tracking software for a lawyer?
Hi, Lynx Team! My take on time-tracking software is that basic works. In my experience, all you need is a software that has a cell for client billing name/number, description of task, and a "start/stop" timer function that allows you to track your time. :)
Why did I see this only now?? This is very helpful. Thank you so much.
Yay!! I'm so glad to hear it! How many years into practicing are you? :)
@@AngelaVorpahl I have been in practice for three years in Manila, Philippines.
To be candid, I stumbled on this video out of frustration on my billing backlogs hahaha! I figured I should check any videos about it.
While I have been preparing my bills for quite a time already, I was able to pick up good ideas and good habits to observe in this video. So thanks again! :)
@@LiempoBaboy My pleasure!! I'm so glad it was helpful :)
I've been playing catch up, but I love your videos - very useful information. I've been practicing over 15 years and there are still little tidbits of information I find helpful. I wish there was more demand for this type of insider legal information on TH-cam. I was considering starting a channel that dealt with different aspects of practicing law but there doesn't seem to be a lot demand.
You should definitely do it! I get comments every day from aspiring lawyers and practicing attorneys saying how these videos have helped them! I think there's a huge demand for this type of content, people just have to know it's out there :)
@@AngelaVorpahl i agree. i've been practicing for 16 years and there was some very helpful info in this video, or reminders. or at least someone else confirming that i'm not crazy when it comes to my billing practices. i think a lot of law firms, especially in the area of insurance defense, are afraid of having their attorneys bill for all of their time because of the specter of write-offs. nobody wants to give the impression they are churning the file, but really if you are in front of your computer even thinking about the case, it should be billable. thanks.
@@briantriplett5974 I totally agree!! And I'm glad the video helped you feel like you're not alone with your approaches to billing :) I definitely think the specifics are not talked about enough because of the optics, but then nobody ever teaches attorneys where those lines are and how to go about validating those calls in your own practice. But definitely having the conversations helps :)
Brilliant stuff Angela. Thanks much! My only question is where oh
where were you for my first clerking position???
Many firms at least mention some of these topics during
Orientation, but some don't. A lot of these topics would prob
be NBD to tenured associates, but it can be an incredibly
demoralizing process when one gets RAKED over da
proverbial coals by a partner for not magically meeting
standard firm practices you'd no idea existed.
Haha thanks Sean!!! I'm glad the video was helpful, apologies for not getting here sooner!! ;) Where are you working now, did you lateral to a new law firm?
Oh. My. Gosh. Thanks for response, it made my day :-)
The reply archived, then forgotten... Anyway not currently in field,
getting some management experience. Not alot of positions
available in my area at the moment...
Any pointers on staying sharp on da old skiillset?
Back on your site, still really enjoying your stuff, Thank you!
@@seanron-cm3me Pro bono. Pro bono. Pro bono all the waaaayyyy! There are a ton of non-profit organizations out there that are desperate for volunteer attorneys and will gladly teach you a skill set for free in exchange for your work with pro bono clients. Plus you're giving some much-needed help to people who can't afford high ticket legal services. It's a total win-win :)
@@AngelaVorpahl Haah, is there a melody in there... LOL
But wow, really good idea. Gives a person somethin ta do,
keeps them involved. OK I'm off to check in at nearest
Legal Assistance clinic! Except maybe I'll go to work first.
Anyways cheers, good day
@@seanron-cm3me Haha sounds perfect!! Let me know how it goes!! :)
Could you do a video on what to wear as a summer associate? I know it’ll vary by firm culture. But some general guidelines?
Yes! I actually made a video on how to do well in summer associate clerkships, and one part of that is what to wear -- essentially, wear a suit on the first day, after that use the associates as your guide for where on the business casual to business formal spectrum your firm falls, and don't wear anything that will make you stand out in a bad way :)
Here's the video in case you want to check it out: th-cam.com/video/h2nBHkZlJg4/w-d-xo.html.
Angela Vorpahl I actually ended up watching that video not long after I asked this! Great advice.
@@coffybelle7534 Haha awesome!!
“Research statute of limitations for responding to motion to dismiss”
Great advice! I have a question about rounding. My billing software automatically rounds up to the nearest .1 the second you hit "save". I usually do not complete large assignments, e.g. a motion, in one sitting (e.g., I work on it for a few hours, save my time, go home, then come back the next day and work a few more hours on it). By default, this would round my time up twice on one assignment. Is it proper to override my timer in this instance and round down, or is this "nickel and diming" myself? Guidance on rounding by the ABA appears very vague . . .
Good question! I know this is a frustrating answer, but it really has to do with using your "best judgment." If you feel like you totally switched off your mind after leaving the office for the day and didn't really think about the project again until you sat down at your desk the next morning, then maybe at the end of the project I'd take off .1 or .2 from my time. But if you left the office and kept thinking about the cases you read, the possible arguments you could make, how you might be able to organize issues more persuasively, then I'd leave the extra time on there because all of that thinking is 100% valuable lawyering time that never gets counted. For me personally, I was almost always in the latter camp because my mind usually never switched off right after leaving the office.
I mean as a lawyer, I would make it a selling point that other lawyers will bill you for simply thinking about the case while they drive to the court house. I try to hold a higher standard than that. helps clients trust you.
How can a Client make CERTAIN that a Lawyer is billing HONESTLY and ACCURATELY?
Is there any way we can Vett the billing?
Block billing sucks. Most law firms have 6-minute-term for each item you bill. So make sure that instead of block billing, switch to another task after e.g. 9 minutes if you have an 8-minute-term or 7 minutes if you have 6-minute-term. That is great if you have several small tasks and often is 30-60 minutes a day.
New subscriber! Question, is it possible to work 9 hours and bill 9 hours for example? Say you eat at your desk etc. What if the person is a single parent? have you heard of any situations where that it considered?
Hi Cynthia! So it's almost physically impossible to bill every hour that you're at work because inevitably you're going to be chatting with people, taking a break to deal with personal life stuff on the phone, handling non-billable tasks like maybe an HR training or interviewing new associates or attending a firm-wide meeting. It's also tough to do because law firm work ebbs and flows, so you won't always have work waiting for you every moment of the day. For example, you may finish drafting an agreement or drafting a legal brief and then you're waiting on comments back from the client or the partner. In other situations, a big deal or a big case may end and you actually need to spend a few days or even a couple of weeks looking for another deal or case to join. So if you're able to bill 7.5 hours a day EVERY day, that's actually really solid, consistent billing. There will be times when you're busier and times when you're slower, but that billable amount per day (plus a handful of hours on the weekends) will get you to that 2,000 billable hour year.
Is legal work something you're looking to pursue, or are you already on that path? :)
P.S. In terms of being a single parent, it will depend on the terms that you negotiate with the law firm. For example, some law firms do allow lawyers to work part-time. Typically this is not an "official" position that is offered in that it's only really available to people after they've worked at the law firm for several years and then they transition to part-time after having developed expertise and a really strong working reputation at the firm. Most lawyers who work at law firms and have children generally have full-time child care, but of course if there's an emergency you can absolutely leave work to handle it. Let me know if that answers your question!
Hi Angela, great video. I am starting a new job as an Executive Assistant and/or Legal Assistant at a law firm. Very small but very powerful law office. Reestablishing the necessary roles is why I don't yet know what my title will be. But I will discuss it on Monday when I meet the CEO. However, here is my question. This company uses Wordperfect for billing purposes. I don't have a clue as to how they do that. Do you have a video on this? Why do they use Wordperfect? Wouldn't it be better to use Excel or a Law Billing software? The CEO adamite about not changing. They write the dates of events, meetings, court filings, etc on a desktop calendar! I am a highly-skilled Executive Assistant how will I make this adjustment? I have been working in Corporate G-Suite and Microsoft Office. I haven't worked in Wordperfect since 1996 "Laughing Out Loud (LOL)" I heard you when you said NO ABBREVIATIONS!!! This video was so helpful and will be very instrumental in creating a plan of action and open discussions during my first week. Any suggestions on slowly making adjustments to a very antiquated law firm. I appreciate your advice.
Hi, Deneen! Wow, Wordperfect is crazy old, that's so suprising that they're still using it. You say that the CEO is adamant about not changing -- is that something you heard from someone at the law firm or something he/she told you directly after bringing it up? If it's the former, and you haven't been given a hard no directly yet, I would get to know their billing system and the way they like to do things, and then periodically over the next few weeks/months create a simple spreadsheet of the other available options on the market, the prices, and the list of features. I think looking into other options that would make billing more efficient and thereby save the law firm money by having employees spend less time on the actual billing process (a savings in hourly work that I have no doubt would more than compensate for the extra cost of the software) shows incredible initiative and resourcefulness.
Good luck! Let me know how it goes!
Great content!
As a first-year associate applicant, is it alright to ask about the billing practices of a law firm in an interview?
Hi Vin! The short answer is that I would not recommend it. The longer answer is that (contrary to advice you may hear a lot) I wouldn't recommend asking any question you actually want to know the answer to in an interview. First, because the interview is all about you showing them that you are the absolute best person to solve the problem they have (e.g. in need of a smart, hard-working associate to help them produce strong legal work for their clients). Second, you're not actually going to get a straight answer to any question you ask in an interview anyway, and asking that type of "put the interviewer on the hot seat" question is going to pop the energy bubble you're working so hard to create of "I am the amazing answer to your problem."
Only once you actually have an offer of employment in hand would I even consider asking the questions you actually want to know the answers to, and I would be very intentional about which questions I choose to ask and who I ask them to. Almost universally you'll get much more straightforward answers from 2Ls/3Ls who have summered at a particular law firm and young alumni who recently started working at the law firm because there's a natural comaraderie and connection there.
Let me know if that helps!
@@AngelaVorpahl Thanks, Angela! This is very insightful 👍
@@TheVeearrcee Awesome! Keep me posted on how it goes! :)
Hi Angela! Thanks for your video! I have 2 questions though: 1) on a Friday evening when you are waiting for an email from a client you bill that time. What if in the meantime you work on another case, do you bill that time twice? 2) You mentioned the requirement of hours you had (2400h/y), so what happens if you don't score that amount? Thanks in advance :)
Hi, Marta! Great questions. (1) The scenario you describe is very common, and it's universally accepted that you cannot double bill your time. Instead, bill the client matter that you are more actively working on during that time or split the time half and half (both approaches are acceptable). (2) Most law firms are up front with associates about what their yearly billable hour requirements (or goals) are, and if they aren't (or claim not to have billable hour requirements) you can ask the other associates and they will be able to tell you what the "informal expectations" for yearly billable hours are. The most common incentive for hitting your yearly billable hours is your year-end bonus -- many firms have a tiered bonus structure that will give $X bonus for billing 2200 hours, $Y bonus for billing 2000 hours, $Z bonus for billing 1800 hours, etc. That being said, some firms have come out publicly and said that they give the same bonus to all associates in the same class year regardless of their hours billed. Other firms are more discerning and will assign year-end bonuses based on a combination of factors, such as hours billed, sophistication of work projects completed, level of contribution to the practice group, participation in law firm activities, etc. At the law firm where I worked, 2400 hours was more of "suggested goal" than a hard-line requirement. As long as you consistently billed in the ballpark of 180 hours per month, no one bothered you. If an associate dropped far below that, a partner would usually approach them to check in on why their billable hours were down and help them find work. In any law firm there are going to be slow times (and the firm knows this), so as long as an associate showed that he/she was trying to find work when billable hours were slower then were totally fine. As far as I could tell, the firm generally gave the same bonus to all associates in the class year unless an associate just wildly out-billed their classmates in which case that associate usually got a bit of a bonus bump.
Thank you so much!! I discovered your channel today and cannot thank you enough for the extreme doze of motivation, great explanations and tips! Keep up the wonderful job you do here on TH-cam 🤩
@@Levymar That's so sweet of you to say, I really appreciate it! After taking off the month of July, I'm excited to start posting a new season of videos starting next Tuesday, so stay tuned! :)
But traveling to a meeting on one client's behalf is billable time which I could be spending on another client's work 😔
If your firm doesn't prohibit billing for travel time, then bill it! Especially if you're thinking through and planning the client meeting mentally on the way there.
How many charged lunches should you have per week?
Lunches generally aren't charged to the firm unless you are having lunch with a client or a summer associate or you're traveling for work. Dinners on the other hand are generally charged in NYC firms (and a few other regions as well) any time you're going to keep working after a certain time (it was 9pm for us). In the case of charged dinners, you don't want to get the reputation of staying late just to take advantage of the policy but if you're working hard and have a reason to stay late I wouldn't shy away from charging dinner as many times per week as you need to if the firm offers that option. A good rule of thumb is that if you feel comfortable explaining what you were working on if a partner were to ask you, you're good.
Hi Angela. Thanks for the great videos, really appreciate it. Just a couple questions. (1) What if one doesn't hit the yearly billing requirement? I know there are consequences re: bonuses, but how "low" is intolerably low from the law firm's perspective? For example, what if one works at a firm where billing requirements are 2000 hours/year? (2) You said that one could bill for the time it takes to get up to speed (i.e. researching, talking to others, even google searching). How long does it usually take to get up to speed on a file, assuming one is working at a law firm in Manhattan? I was talking to a buddy of mine, he works at a law firm in Canada, and he said his firm expected him to get up to speed on a file within 15-30 mins -- or at least, that's what he'd be able to bill "safely" without looking like he took too much time. (They do mostly medical liability stuff).
Hi, Samir! Great questions.
(1) For most BigLaw law firms, if you're in the general vicinity of yearly billable hours you're going to be fine. So for a firm that requires 2,000 billable hours, if you billed 1,850 or more you should be good (i.e. you won't get reprimanded and definitely won't get fired, see below). Even for firms that have cut-offs for bonuses, some will wind up giving all members of the associate class the same bonus even if you don't hit the "bonus" billable hour requirement (depending on the firm).
That being said, if you had a low billable year, in your end of year review the partner conducting the review will likely ask you what factors led you to bill lower hours, and so you should have an answer prepared ahead of time (e.g. your particular practice group was very slow, cases or deals settled or didn't happen unexpectedly, you spent more hours than expected on non-billable matters) as well as steps you plan to take to make sure you can hit your billable hours for next year (e.g. reaching out to additional practice groups or partners, making sure you're on multiple cases/deals at once in case one case/deal ends prematurely).
(2) How long it takes to get up to speed on a case will depend on how long you've been practicing, how long you've been in that particular practice group, the type of case, etc. In your first couple of years as an associate, it could theoretically take you days or weeks to get up to speed on a case, depending on the type of project they've assigned you. That being said, a bit more realistic of a situation is getting up to speed over the course of 2-3 days while you work on the first project you're assigned -- e.g. read the foundational documents (the latest complaint/response/scheduling order in a lawsuit, a key deposition, a dispositive motion or order); have a conversation with the managing senior associate about where the case/deal stands, what the major steps forward are, and what are the most pressing matters at hand; and make a list of questions as you make your way through your first project.
In my opinion, you should bill for all of that time, and if the managing partner on that case wants to write off some time before sending the bill to the client they are free to do that, but you should absolutely get credit internally for those hours that you worked. I can't imagine getting up to speed on a case in 15-30 minutes, but maybe your friend works very similar cases over and over and the only thing that changes in each case are the names of the clients, or the hospital, or some other basic information that doesn't require any background research or reviewing of documents. Even so, I would bill for whatever time it took me even if the time doesn't wind up being billed to the client.
Great answers, Angela. Thanks!
Hey Angela - how much would a software that automates timekeeping help you?
In my opinion, SO MUCH. You just press play and then start your work day. It takes away any and all mental energy you have to put towards remembering to write down your time, and then later transferring all your handwritten notes into electronic invoices to clients. It cuts out all of the middle man work. And the other good thing is that you can duplicate case and task descriptions. So if you're working on the same case for months, you can copy/paste whatever information is applicable to reuse or quickly redraft task descriptions without having to rewrite them from scratch every time. I hope this helps!
@@AngelaVorpahl Perfect! I'm working on a product that does that - would be more than happy to ping you once we're ready!
@@dragosgrozavu1937 Very cool!! Please do!!
Dragos Grozavu I found CLIO to be helpful when I was in private practice.
But how does it work though if you’re thinking about a case right as you’re laying down for sleep, and then the “case winning point” comes to you, you cannot bill for that? I could see why not, though it is funny in a way.
Exactly, that wouldn't be billable because you're not "working on the case" in a systematic way at the time. That's why I feel so strongly about not "nickel and diming" yourself so to speak when you're in the office working on a case and you get a cup of coffee, go to the bathroom, or quickly check social media to give yourself a quick mental reboot.
Not sure why I'm watching this, I'm not even lawyer!
Haha that makes me so happy!
how do people not know how to bill their time? Its pretty common sense.
I agree it seems really straightforward, but there's actually a ton of gray area, and all associates are ever told is "use your best judgment," which is really tough to do if you've never done it before and have no frame of reference. So what winds up happening (and I did the same thing) is that junior associates tend to significantly underbill their time to overcompensate for their fear of billing it wrong or spending "too much time" on a project, all of which creates a not amazing situation for them. So I wanted to create a video to help bridge this gap for some of the most common uncertainties when it comes to billing time and the explanations for why I recommend what I do :)
@@AngelaVorpahl ah, yeah i do remember doing that now that you mention it. Im an engineer and my first few months in my career i would under bill a project because i wanted to see projects have a huge profit... well that only hurts in the long run because project managers would then take that info and reduce the fee for the next project. It sounds like the same principle follows suit for attorneys as well. Thanks for the reply!
@@rwtfallenjf25132 Exactly! I would do that aaaall the time too. And then partners also look at your hours and assume you're not busy and give you more work (which you don't have time to do), so the quality of your work product winds up suffering and everyone is frutrated with you and it's a totally crappy lose-lose situation that associates find themselves in by just trying to do the "right" thing when they bill hours.
Your name should be Angela Warpath, since you're a lawyer 😂
I thought this was gonna be a comedy skit. ....see ya
you go way to far with the mere thought of ideas about the case while driving in the car. I wouldn't hire you for that. 300 bucks for the hour you drove thinking about the case. get out of here.
Great advice! I especially loved ur last advice. Well I’m starting next week at a small law firm and thanks for helping me feeling a little bit more at ease 🥲
My pleasure! I'm so glad this video helped! And good luck next week!! You're starting a very exciting adventure :)