Those who are new to freelancing will quickly discover that timekeeping becomes one of their most important tasks. Not only do clients want to know how much time you’re dedicating to their work, but knowing how long it’ll take you to complete a project will help you determine what to bill and ensure that you receive proper compensation for your work.
We want to help independent professionals improve their time tracking so they can confidently generate revenue and build their businesses. Here are six tips to make it easier to track time and bill appropriately.
Watching the clock: Freelance time-tracking challenges
When it comes to challenges associated with working as an independent professional, time tracking quickly rises to the top of the list. Many workers find that they must balance competing priorities. You might switch between completing work tasks, helping children with school, and managing household chores, making it hard to keep track of time consistently. Drafting content ideas while out for a walk or speaking with a client while preparing meals may be part of your regular experience.
Some freelancers also feel intimidated when they realize how much time they’ve spent on projects. They might fear that the final cost will be too high for the client, alienating them. These professionals wonder if charging the full amount can result in a potential loss of income if the client leaves.
However, some solutions can improve the ability of independent professionals to track time spent on work. These tricks make documenting billable hours straightforward so that each professional receives proper payment.
6 tips to improve your time tracking as a freelancer
We’ve provided some ideas to improve your time management and time tracking and ensure your pricing is accurate. Consider the unique parts of your business and see how these tips can benefit you as you create a more reliable time sheet.
Set reminders to ensure you’re tracking your time
Trying to balance different tasks while remembering to keep track of the timer can be one of the biggest challenges. However, reminders can be a great way to get started.
Set reminders on your phone or computer to remember to turn your alarms on and off. Consider setting an alarm to ring every 30 minutes or at another interval that works for you during your working blocks. When the alarm goes off, you can give yourself a brief break and ensure that you’re remaining on the task as you need to.
If you’ve gotten off task, this tip will remind you to refocus and ensure your timers are accurately reflecting how you spend your time. If it’s time to take a lunch break, your alarm can provide a good transition point.
Select productivity apps that meet your freelancing needs
Several time-tracking apps can help freelancers. Consider where your time tracker will help you most, including whether you have an Android or iOS operating system. Many also come with a plug-in for Chrome, a desktop app version, and a mobile app, making it easier to use the web app across devices. Time-tracking software can help you concretely track your working time so that you can submit a time sheet that accurately reflects your time and effort.
Consider the different features that you want in your time-tracking tool. Some project management tools may include features that allow you to take screenshots to show progress to your clients. Others may record hours in real time for easy invoicing. If you regularly work with other team members, coordinating with them through the time tracker is an added benefit. Having access to a free plan that lets you try the tool before you pay also benefits many workers. Know the features that matter most to you and your business as an independent contractor to boost your profitability.
Some popular productivity apps to consider include:
- Toggl: This app easily integrates with different software, including Asana, Gmail, and Zendesk on Chrome and Firefox. It helps with time tracking and billing for your team. If you work offline, you can also manually enter time later. There’s a free version in addition to paid versions.
- Harvest: This app will help you track time, how your projects are progressing, and generate invoices from billable time. You can also use it for expense tracking for better billing. There’s a free version for individuals and a paid version for teams.
- RescueTime: This is an automatic time tracking app that helps people see how they spend their time on different projects and free time without data entry.
- Trello: This app helps you prioritize projects and track progress individually or with your team.
Most of these project management apps offer desktop versions and iPhone and Android app versions.
Develop a method for generating invoices
Once you have a record of your billable hours, the next step is to create invoices. When you have multiple clients, it’s important to balance and track invoices for these different organizations.
Consider creating a system that helps you track your invoices and when they get submitted. Some people might find it helpful to have a time-tracking app automatically generate invoices when needed. Other times, it might work to have a day set aside to create invoices for clients.
Maintain your records
As you create invoices and begin to bill your clients, carefully track your records. Knowing when you’ve sent your clients invoices, how much you invoiced them for, and how much they’ve already paid will help you follow up on unpaid invoices and know when it’s time to send another invoice. Tracking invoices will also help you when it comes time to report your income during tax season.
Maintaining careful records also helps you better gauge your time. You can improve and refine your understanding of how long projects take so you can adjust your billable rates and quotes accordingly. Some time-tracking software can even help you track when to send invoices and the invoices you’ve sent to particular client accounts.
Don’t undercharge for larger projects
Some freelancers may be tempted to undercharge for larger projects. They might see their time entries growing and their hourly wages adding up. They worry about frightening away their clients with high prices. However, no freelancer should feel required to undercharge for their work, spend hours working for free, or lower their hourly rates beyond an appropriate amount.
When the client requests a project, it can help to give them an estimated number of hours upfront. This can help prepare them for the eventual costs. If you find that the project takes longer than expected, keep the client updated and let them know the reason for the delay. This will avoid any surprise charges at the end of the project.
Appropriately billing the client sets the precedent that you get paid completely for the work you do. It’ll also prevent you from charging less than you deserve and shape appropriate expectations for how long projects take and what clients should budget for a professional to help complete their projects.
Set aside designated work times
With the number of demands that freelancers often face, setting aside uninterrupted work time can help with tracking time and maintaining a steady workflow. Those working in an office have office hours to dictate when they get their projects done. As a freelancer, you may not have the same structure. Setting aside a block of time can help you set accurate timers and properly manage your billable hours.
Having set hours can also remind anyone else in your household that you can’t be interrupted during this time. This will help reduce distractions during your work hours and improve your ability to track hours accurately. When you know you have free time, it also becomes easier to focus on the task at hand.
Consider using a Chrome extension or another browser extension to set up your timekeeping app, set the clock for the appropriate length, and work toward your goal.
Find clients who value your time and skills
For those building a freelancing career, tracking hours is a core part of the job. Knowing when and how to bill clients appropriately ensures that you get paid for your work. For many freelancers, tracking time can improve their financial stability and help them build successful businesses.
Keep track of your time accurately with one of the time logs available for independent contractors. Remember that the best time-tracking apps are those that meet the needs of your small business and help you thrive.
Finally, find clients who value the skills and professionalism of experienced independent workers so that you don’t need to compromise on your prices or underestimate the time you need to accomplish a project. If you want to work from a platform that will connect you with great clients, use Upwork.
