Everhour tracks work and time off in one place, so utilization checks can reflect real team availability.
Measure billable utilization against total capacity and see exactly how many hours you're leaving on the table each period.
Working hours this period
Industry average for agencies: 75–85%
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 utilization rate calculation answers one practical question: out of the hours a person or team was available to work, how many hours counted toward the target activity? On Android, the math stays the same as on desktop. You can keep a timesheet or project report open in one browser tab and run the calculation in another, then save the page as a home-screen shortcut for repeat checks.
For professional services, the numerator is usually billable hours. The denominator is available capacity after the firm decides what capacity means. In the United States, the FLSA does not define full-time or part-time employment, so a U.S. utilization denominator should treat full-time capacity as employer policy rather than a federal legal threshold.
Use this formula: utilization rate = billable hours / available hours × 100. If a consultant has 126 billable hours in a month with 168 available hours, the utilization rate is 75%. At a $150 standard billing rate, those 126 billable hours carry $18,900 of billable value before write-downs, discounts, or nonbillable adjustments.
The available-hours base needs a clear rule. Many U.S. firms start with 40 weekly hours because federal overtime rules require covered nonexempt employees to receive overtime pay for hours worked over 40 in a fixed 168-hour workweek. A 40-hour weekly capacity baseline equals 2,080 annual gross hours before subtracting company PTO, holidays, unpaid leave, or other nonworking time.
The largest utilization mistakes come from mixing gross capacity with net capacity. Gross capacity counts the full policy schedule, such as 40 hours per week. Net capacity subtracts employer-recognized nonworking time before the percentage is calculated. If paid holidays, vacation, sick leave, or approved unpaid leave reduce availability in your reporting model, remove those hours from the denominator before comparing people or teams.
Federal law does not mandate paid vacation or holiday time for private employers under the FLSA. OPM lists 11 federal holidays in 2026, but those are federal employee holidays. Private-sector paid holidays remain an employer policy matter unless another law or contract applies. A clean utilization report states which absences were removed, especially when managers compare employees with different PTO, leave, or holiday schedules.
A one-off calculator is enough when you need a quick monthly check, a proposal assumption, or a single employee's percentage from known hours. It is also enough when the source data is already approved and the denominator rule is written down. The result can support a staffing conversation, invoice review, or capacity planning note without changing your timekeeping process.
A managed workflow becomes necessary when leave, approvals, and reporting rules affect the number every pay period. Everhour Time Off tracks vacations, sick leave, holidays, and custom leave types with partial-day durations, accrual, carryover, balances, and approval status. That matters because approved time off can flow into timesheets and reports before utilization is calculated, instead of being fixed manually after the fact.
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.
Utilization rate equals billable hours divided by available hours, then multiplied by 100. A person with 126 billable hours and 168 available hours has a 75% utilization rate. Use the same numerator and denominator rules every period, or the trend will reflect calculation changes instead of actual workload changes.
PTO should reduce available hours only if your firm uses a net-working-hours denominator. The FLSA does not require payment for time not worked, including vacations, sick leave, or federal or other holidays. Employer policy, contracts, and applicable laws decide whether those absences reduce the denominator.
2,080 hours is a common gross annual baseline because 40 hours per week times 52 weeks equals 2,080 hours. It is not a federal utilization requirement. A firm can use a different employer-defined capacity policy, especially for part-time schedules, alternative workweeks, approved leave, or role-specific capacity targets.
Android does not change the calculation. The same formula, inputs, and denominator policy apply in any modern browser. The Android-specific workflow is practical: keep source hours open in another tab, use autofill carefully for repeated entries, and save the page to the home screen if you run the same check often.
The most common mistake is comparing one person's gross capacity with another person's net capacity. A report that subtracts PTO for one employee but leaves holidays inside another employee's denominator creates a false performance gap. Define the denominator first, then apply it consistently across the team and period.
Everhour Time Off tracks vacations, sick leave, holidays, and custom leave types with partial-day durations, accrual, carryover, balances, and approval workflow. Approved time-off data can appear in timesheets and reports, so utilization inputs reflect actual availability instead of a manual leave adjustment after reporting.
Use Everhour Time Off to approve absences, keep balances current, and feed time-off data into timesheets and reports before utilization reviews, giving teams cleaner availability data in Everhour.
14-day free trial · No credit card · Cancel anytime
