Billing Q&A: Configuring Client Budgets

May 2023    Tags: Clients, Tabs3 Billing

We have matters for which we only want to charge up to a set amount or set a limit for the total hours worked. Is there a way for Tabs3 Billing to notify us if we will exceed these limits?

Tabs3 Billing includes a Budget feature that allows you to set a maximum amount and/or hours per matter. Additionally, with matters configured for Task Based Billing, you can specify separate budgets by phase for both activity (fees) and expenses (costs). When you are entering fees or costs in Tabs3 Billing, PracticeMaster, or Tabs3 Accounts Payable, you will be notified before saving if the transaction will exceed the matter’s budget.

To configure a budget for a non-Task Based Billing matter

1. In the Tabs3 Billing Quick Launch, search for and select “Client Information.”
2. Select the Client ID for which you are creating a budget.
3. Click the Budget tab.
4. In the Hours to Bill field, specify the maximum total hours you want to bill the client for this matter.
5. In the Amount field, specify the maximum amount you want to bill the client for this matter.
6. Select the Warn if Budget Exceeded check box.
7. Press Ctrl+S.

To configure phase-level budgets for a Task Based Billing matter

1. In the Tabs3 Billing Quick Launch, search for and select “Client Information.”
2. Select the Client ID for which you are creating a budget.
3. Click the Budget tab and then click the Budget button.
   1. In the Phase/Task field, select the phase for which you are creating a budget.
   2. In the Activity Amount field, specify the maximum fee amount you want to bill for the selected phase.
   3. In the Expense Amount field, specify the maximum cost amount you want to bill for the selected phase.
   4. Click Save Record.
   5. Repeat steps a-d for each phase you want to budget.
   6. Click OK.
4. Select the Warn if Budget Exceeded check box.
5. Press Ctrl+S.