Law firms usually do their best to ensure that their overall law firm billing process is efficient and accurate. Similarly, firm staff also consider the ethical and procedural best practices of paralegal billing. Keep the following paralegal billing tips in mind:
Consider the ethics and standards of paralegal billing
Paralegals work under the supervision of attorneys, so paralegal billing should abide by the same accuracy, clarity, and professionalism standards. For example, Rule 1.5 of the ABA Model Rules of Professional Conduct lays out what to consider when setting reasonable fees for lawyers. Keep the same factors in mind when setting paralegal billing fees.
Law firms also need to differentiate between billable and non-billable paralegal work. Paralegals wear many hats and play numerous critical roles at a law firm. But only substantive legal work that a lawyer would otherwise complete should be billed. Billable paralegal work must also meet the guidelines for billable paralegal work in your area.
Be specific and detailed
Clarity, consistency, and communication are key to effective law firm billing. So it’s best practice for specific and detailed paralegal billing that’s easy for clients to understand. Clients should know when a paralegal completed legal work and precisely what they did. For example, when billing on an hourly basis, paralegals should provide detailed notes for legal work performed on invoices.
Bill promptly
Sending clear, accurate bills promptly and consistently to clients is vital for ensuring healthy law firm collections. But billing promptly is also an excellent way to minimize confusion when it comes to paralegal billing.
The longer a firm waits to send a client bill, the more challenging it is for the client to recall what legal services they received. A late bill could result in clients getting confused over their invoices. As previously mentioned, clear notes can help ensure a smooth experience for clients. Billing promptly also makes it easier for clients to read bills.
Use cloud-based legal billing technology
As Doug Bend of Bend Law Group explains, the right tools and systems can make billing easier and more effective for the whole firm.
When multiple people—lawyers and paralegals—are billing, having cloud-based legal technology creates standardized, automated systems that allow everyone to create accurate invoices for clients.
Clio Manage’s legal billing software lets firms quickly and easily create bills for clients from anywhere. Clio’s legal billing software also contains numerous features that can help paralegals and lawyers bill more efficiently. Here are a few examples of how Clio can help a firm’s billing:
- Custom rates. Custom hourly rates and fees lets you charge clients different hourly rates and flat fees. This way, it’s easy for you to bill clients at different rates depending on who completes the work.
Easy-to-read invoices. When you’re billing for legal work, clear invoices are crucial for clients. Clio helps firms create professional invoices that can include aggregated or expanded activity lists and detailed statements of accounts. - Time tracking. Clio Manage’s legal time and expense tracking features let users record their time worked via a time tracker. You can also add time entries directly from things like calendar events, communication logs, or documents.
This article is part of a piece originally published by Clio, the world’s leading provider of cloud-based legal technology. Read the full article here