Need a hand?

Find what you need on the FreshBooks Support page.
 From Client tips to Invoice tricks and everything in between.

Rather speak to a human? Give our award-winning Support team a shout:

help@freshbooks.com
1.866.303.6061

Support Team
< Time Tracking

Which billing method should I choose?

When you create a Project, you’ll need to select a Billing Method. Here’s an explanation of each Billing Method you can choose in FreshBooks.

Billing_Method

Hourly Staff Rate

  • If you have Staff in your account, their rate is how much your Client will be billed regardless of the Task the hours are logged against
  • The Staff Members rates will be shown under the Team Members section of the edit / create Project page
  • Staff rates can be edited by going to the People tab, then Staff and Contractors and clicking Edit next to the Staff member
  • This method is really useful if you have multiple Staff members working on a Project all with different rates.

Example:
John has a rate of $55.00/hour. He tracked 4 hours towards the Task “Web Development”
Peggy as a rate of $77.00/hour. She tracked 3 hours towards the Task “Web Development” and 2 hours to “Graphic Design”

When an Invoice is generated, your Client will be billed:
4 hours at $55.00/hour (John’s hours)
5 hours at $70.00/hour (Peggy’s hours).


Hourly Task Rate:

  • Your Client will be billed based on the Tasks that were chosen
  • The Task rates associated with that Project are shown on the Assigned Tasks section of the edit / create Project page. They can be adjusted here as well
  • It doesn’t matter who tracked the time, only the Task Rate is taking into consideration
  • This method is really useful if you charge different rates for different Tasks regardless of who did the work,

Example:
“Web Development” has a rate of $80.00/hour.
“Graphic Design” has a rate of $60.00/hour.

John tracks 2 hours to Web Development and 3 hours to Graphic Design. Peggy tracks 1 hours to Web Development and 5 hours to Graphic Design.

When an Invoice is generated, your Client will be billed:
3 hours at $80.00/hour (Web Development)
8 hours at $60.00/hour (Graphic Design).


Hourly Project Rate:

  • It doesn’t matter who tracked the time, or which Task was chosen, your Client will always be billed at one consistent rate for that Project
  • You set the rate from the Edit Project screen


Flat Project Amount:

  • It doesn’t matter how many hours were logged, the Project will always be billed at the Flat Project Amount
  • You set the Flat Project Amount from the Edit Project screen
  • The number of total hours logged will still show up on the Invoice, but they will be set at a $0.00 rate
  • There will be a line item showing the Flat Project Amount:
Flat_Project_Amount