Everhour keeps billable time easy to capture while a simple total still depends on hours, rates, and rounding rules.
Track billable vs. non-billable time and see your real utilization rate and revenue potential in seconds.
Working hours in the period
Admin, meetings, internal work
Industry average is 75–80%
The calculator gives you the number — Everhour takes it from there.
One click and you're timing. Start a timer, add an entry, edit the details. This is exactly how it feels in Everhour.
Set a budget, assign rates, and get alerted before you're over.
Measurement
Track your budget through time or costs
Every report you need — configured your way, always up to date.
Tracked hours flow straight into a polished invoice — no copy-paste, no manual math.
A simple billable-hours calculation answers one practical question: how much client-chargeable work is ready to bill before taxes, discounts, expenses, write-downs, or collection timing. The core inputs are approved billable hours, the billing rate, and the billing increment used by the engagement. If the work is split across people, tasks, or phases, each line needs its own hours and rate before you add the totals.
The result is normally a USD invoice subtotal for U.S. work because U.S. coins and currency, including Federal Reserve notes, are legal tender for debts, public charges, taxes, and dues. That subtotal is not automatically the cash collected. Realization, collections, and payment timing are separate checks that explain why worked time, billable time, billed time, and paid revenue can differ.
Use this formula for each billing line: rounded billable hours × billing rate = billable amount. Then add every line. For example, a client analytics project has 34 approved modeling hours at $135 per hour and 12 approved coordination hours at $90 per hour. The modeling line is $4,590, the coordination line is $1,080, and the pre-tax billable total is $5,670.
Rounding belongs before multiplication when your agreement uses a billing increment. If time is billed in 0.1-hour increments, a 14-minute entry becomes 0.3 hours; if billed in 15-minute increments, it becomes 0.25 hours. Apply the same rounding method consistently to every entry covered by the same policy or contract. Do not round the final invoice total as a shortcut for entry-level billing rules.
The simple version works best when you only need the minimum reliable inputs: date range, billable hours, rate, and billing status. A quick check beats a full billing workflow when you are estimating a draft invoice, reviewing a small project, or checking whether a client budget is nearly used. The calculation stays clear when every non-billable task is excluded before the subtotal is created.
The common mistake is mixing work hours with billable hours. Internal meetings, admin work, training, or write-downs can belong in project records without belonging on the client bill. Taxes also need a separate field, not a guessed national rate. The United States has no federal VAT/GST or national sales-tax rate for billed professional time; service tax treatment is state and local when the service is taxable.
A one-off calculator is enough when the entries are already approved, the rate is known, and you only need a quick subtotal. It is also enough for a draft estimate that will be reviewed before invoicing. Keep the supporting time log, rate agreement, and rounding rule with the calculation so the number can be checked later without reconstructing the work from memory.
A managed workflow becomes necessary when several people track time, rates differ by project or task, approvals are required, or invoices need a clean handoff. Everhour can keep tracking controls inside supported project tools, sync project and task metadata, and expose timesheets and budgets in the places teams already use. That turns repeated billable-hour checks into a track, approve, report, and invoice process.
This content is for general information only, may not be fully up to date, and is provided without any warranty or liability.
High Performer
G2
Summer 2026
Best Ease Of Use
Capterra
Summer 2026
Rated in the top time trackers across G2, Capterra, and TrustRadius — with consistent praise for ease of use, integrations, and support.
Add only approved billable time, apply the client's billing increment, multiply each line by its rate, and add the line totals. Keep non-billable time out of the invoice subtotal. If a project uses different rates for people, tasks, or phases, calculate each rate category separately before adding the final billable amount.
Billing increments change the hours before the rate is applied. A 7-minute task becomes 0.2 hours under a 0.1-hour rounding policy, but it becomes 0.25 hours under a 15-minute policy. The chosen increment must match the contract, engagement letter, or billing policy that governs the work.
Non-billable hours should not be included in the client-chargeable subtotal. Keep them in internal reporting if they explain project cost, utilization, or profitability. The simple calculator should separate the two categories first, because multiplying total worked hours by the client rate overstates the invoice when admin or write-down time is mixed in.
No. The United States has no federal VAT/GST or national sales-tax rate for billed professional time. A U.S. billable-hours subtotal is normally calculated in USD before tax. If the service is taxable, the tax input must match the applicable state and local jurisdiction instead of using one federal percentage.
A calculator is not enough when entries still need approval, multiple rates apply, invoices must exclude already billed time, or the client requires a detailed audit trail. It also falls short when payment timing matters, such as federal-agency vendor invoices where Prompt Payment rules generally use a 30-calendar-day due date after a proper invoice unless another listed term applies.
Everhour embeds tracking controls inside supported tools such as Asana, ClickUp, Jira, Monday, Notion, Trello, GitHub, and Linear. Project and task metadata sync into Everhour, so billable time can be tracked in the work context and later reviewed through timesheets, budgets, and billing reports.
Everhour Billing & Invoicing can generate invoices from uninvoiced billable time and expenses. It calculates invoice amounts from rates, time, and billable expenses while excluding non-billable work, then marks invoiced time so the same entries do not appear again in a later invoice.
Use Everhour inside supported project and accounting workflows to capture billable time, review timesheets, and keep invoice-ready totals connected to the work that created them.
14-day free trial · No credit card · Cancel anytime
