Incremental hourly billing - Virtual Assistant Forums

Business-Bytes · #1 (**permalink**) 09-09-2009

Can y'all tell me what the thinking is behind incremental (5/10/15 minute) hourly billing? I am so used to using the exact time spent, and not rounding up or down, so I was wondering why this is done.

Just curious - could be the accounting part of me coming out and how everything is an exact amount.

leedrozak · #2 (**permalink**) 09-09-2009

Jules,

I bill in 15 minute increments because that is how I schedule time. Whether it is phone calls, doc prep or another project the client gets 15 minutes of time and therefore that is dedicated time to them. I really don't have an issue with this because very rarely do I have a client who does not use the time allotted to them daily.

Business-Bytes · #3 (**permalink**) 09-09-2009

I see, Lee - blocks of time. Duh. That was very helpful in helping me understand this. The

came on!

Thank you!

Kathya · #4 (**permalink**) 09-09-2009

Also, it's way easier to track things. For instance, I don't think I would put that I billed a client from 2:15PM to 4:30PM...instead, I would bill for 2.25 hours total. I hope that makes sense...now you've raised a question for me...is that how everyone else is doing it?

Action Jackson VA · #5 (**permalink**) 09-09-2009

I use Paymo and it really helps define how many hours I spend on project work, hourly work etc.

For instance I figured it took me 5 minutes to find a drop shipper for my client. Then another 25 minutes to sign her up for the company and select products that she may want to sell.

Then it took 30 minutes for each product, to create a web page, add in a buy it now button etc.

So I now have an estimated time base for the next client that needs this service.

Try it out and see how you like it.

Andrea

Business-Bytes · #6 (**permalink**) 09-09-2009

The reason I brought this up is because I have time tracking software and it tracks time down to the second, and I can also enter rates and it figures out how much down to the second. This can be per project and different rates for different projects. I really like my time tracking software.

With clients I can print reports that are detailed, so I like that feature, too. Another VA that I am subbing for did give me advice to not include the reason I clocked out (then back in) to clients, though - they don't need to know the reason (I had put on there a "ladies room" break

when I sent her my weekly report).

So this got me to wondering why using incremental time would be a benefit. I sure don't want to overcharge clients.

But then again, if we're talking setting aside blocks of time, then that makes sense to me.

Just some general rambling from me...

Action Jackson VA · #7 (**permalink**) 09-09-2009

LOL at ladies room! I clock out when I have to go get more coffee or when I have to answer a different email for a different client etc. When I send my reports to my client every week she understands why I have clocked out and that goes unsaid lol

I love being able to send her reports where it shows my hours worked, and my notes. She uses my notes for doing her "homework" lol She makes me give her home work for the week so I do it via the reports notes section.

Too funny,
Andrea

Business-Bytes · #8 (**permalink**) 09-09-2009

Originally Posted by Action Jackson VA

Try it out and see how you like it.
Andrea

Way cool, Andrea! After just a cursory look, I'm going to check this out further.

Thank you!

VBPartners · #9 (**permalink**) 09-09-2009

I also use time tracking software but when I generate my reports, I do not include the time in/out section. Rather, I just let the total time spent that day show.

Most software offer you several options when generating your report.

AwesomeAssistant · #10 (**permalink**) 09-09-2009

I used a 15-minute increment to begin with to cover some of the admin tasks. However, clients began wanting to cut back because of the economy. So I raised my rates and charge only by the minute. They pay only for time I actually work and my admin costs are covered by my raised rates.

Business-Bytes · #11 (**permalink**) 09-09-2009

Originally Posted by VBPartners

I also use time tracking software but when I generate my reports, I do not include the time in/out section. Rather, I just let the total time spent that day show.

Most software offer you several options when generating your report.

Thanks, Vivi. I currently use yaTimer and really like it. The only thing I don't like is that the numerous reports that you can use can't be customized.

Thanks again!

Business-Bytes · #12 (**permalink**) 09-09-2009

Originally Posted by AwesomeAssistant

I used a 15-minute increment to begin with to cover some of the admin tasks. However, clients began wanting to cut back because of the economy. So I raised my rates and charge only by the minute. They pay only for time I actually work and my admin costs are covered by my raised rates.

I am going to stick with actual time for now. Your perspective helped.

Thank you, Sue!

VBPartners · #13 (**permalink**) 09-09-2009

No problem. I use TraxTime and its quite flexible on the reports.

I also just bill time used and don't roll up. Just started that way and have stuck with it.

HawaiiVA · #14 (**permalink**) 09-11-2009

I bill in 15 minute increments also due to my scheduling. I know there is time that I spend on each client that doesn't get billed (random e-mail check, phone call, etc.) so that is how I justify it if I actually only work 12 minutes and bill 15.