Manual time tracking can create challenges for law firms. It's not only prone to errors, but can also lead to inaccurate billing and missed revenue opportunities. Additionally, it can be difficult to recall days or weeks of work—resulting in valuable time recalling inconsistent time entries. Legal time-tracking software can help by automating the process, streamlining billing, and improving overall productivity.
In this article, we’ll highlight the pros and cons of different time-tracking methods, the benefits of legal time-tracking software, and the best time-tracking options currently in the market.
Time tracking is a cornerstone of efficient legal practice. Accurate time records ensure that resources are being allocated accuratley to different cases, while also providing valuable insights into firm profitability. Tracking time also allows law firms to enhance billing accuracy, optimize resource allocation, improve client satisfaction, gain valuable insights, and support better decision-making.
Lawyers use a variety of methods to track time and billable hours to ensure accurate invoices. Each method comes with its own benefits and challenges, and the choice of method often depends on the size and structure of the law firm, as well as the technology available. Here are some common approaches:
Legal time-tracking software is built so that law firms can easily track and capture billable hours. It offers features like automated time capture, project management tools, and detailed billing features. Unlike general tools, legal time tracking integrates seamlessly with case management systems, efficiently keeping track of tasks and hours.
By centralizing time tracking within the firm’s management software, your firm can streamline billing processes and improve client satisfaction. With added options like automated invoicing, calendar integration, and task tracking, legal time-tracking software ensures every hour is accounted for—driving overall efficiency.
Tracking billable hours efficiently is essential for law firms of all sizes, and choosing the right software can make a significant difference. Below are some of the top legal time-tracking software options, tailored to meet the needs of different types of law firms.
MyCase offers an efficient solution for tracking time with billable hours. With features like Smart Time Finder, it automatically captures missed billable activities—ensuring more accurate billing. It also integrates tracked entries with invoices—simplifying the process of managing billable hours, and tasks, and improving lawyer-client communication. MyCase also supports document management, which makes this solution a solid option for firms looking to handle all aspects of their practice in one platform.
CASEpeer stands out for personal injury firms, with specialized tools like medical treatment tracking and built-in communication features. It allows personal injury attorneys to manage their cases efficiently while keeping track of billable hours. With seamless integration to QuickBooks and a secure client portal, CASEpeer also helps improve law firm client management and productivity.
Docketwise focuses on immigration law, providing real-time time tracking alongside case management. It allows attorneys to log hours manually or automatically, ensuring all billable time is captured. By integrating time entries into invoices, Docketwise simplifies billing and helps immigration lawyers focus on their cases without worrying about missing billable work.
LawPay is a payment solution trusted by many law firms. It integrates with platforms like MyCase to track time, manage billing, and process payments. Features include recurring payments, legal fee financing, and text-to-pay options. LawPay is especially valuable for firms needing compliance with trust accounts and seamless billing processes, making it easier to remain in compliance.
General time-tracking tools like Timenotes, Hubstaff, Gusto, and TimeDoctor may offer basic features for tracking hours and managing productivity, but they fall short when it comes to the specialized needs of law firms. These platforms are designed for broader industries and lack integration with legal-specific functionality, such as streamlined case management, detailed billing reports, and team scheduling. While they may seem like viable options, relying on these tools can create inefficiencies and miss critical aspects of legal workflow management. Law firms are better served by using time-tracking software tailored specifically for the legal industry, ensuring compliance and efficiency.
When selecting the right legal time-tracking software, it’s essential to ensure the platform fits your firm’s needs. First, integration benefits are necessary to ensure a smooth transition. Proper legal time-tracking management software should integrate with your existing billing systems and document management tools.
Strong security features are also crucial for safeguarding sensitive client data. Attorney time-tracking software should offer encryption, role-based access controls, and audit trails—ensuring compliance with legal standards and protecting client confidentiality.
Finally, testing the software through free trials or demos is a critical step. With free trial runs, you can assess whether the lawyer time tracking tool is user-friendly and fits seamlessly into your daily operations. These trials also allow your team to evaluate whether the software improves the efficiency of lawyer time tracking and overall practice management.
Start by setting clear billing practices. This involves defining billable tasks upfront and ensuring that all lawyers and staff are aware of what activities are considered billable. By doing this, your firm can avoid confusion and ensure accuracy in invoicing.
Encouraging consistent time entry is also important. Lawyers should be prompted to log their time as soon as tasks are completed. This reduces the risk of forgetting time spent on cases and ensures that the time is tracked as the task happens (or shortly after). Delayed entries can lead to lost billable hours or inaccuracies in billing—affecting revenue.
Next, it’s important to leverage automation in your legal time-tracking software. Automation features—such as timers, automatic activity capture, and calendar integration eliminate the need for manual logging. As a result, your firm will have more time for client-related tasks.
Finally, regularly reviewing and analyzing data generated by your time tracking system allows you to identify inefficiencies and improve both time management and billing accuracy. Reports generated by the software provide insights into how time is being spent, helping firms optimize their resources and improve profitability.
Using legal time-tracking software offers significant advantages, including improved billing accuracy, better resource allocation, and increased profitability. By following these best practices, your firm can enhance both productivity and profitability.
Research the legal time-tracking software that fits your firm's unique needs. Explore various options, take advantage of free trials, and make sure the software you choose integrates well with your existing systems.
If you represent a personal injury firm, try CASEpeer today with a free demo and experience its time-tracking features firsthand.