How to Track Billable Hours in FreshBooks
| Quick Summary Tracking billable hours accurately is the foundation of getting paid fairly for every minute of work you deliver. FreshBooks offers a built-in time-tracking system that connects directly to projects, clients, and invoices — so hours you log today become invoice line items with a single click. This guide walks you through every step: setting up your timer, logging time manually, organizing hours by project, and converting tracked time into professional invoices without any manual calculation. |
For freelancers and service-based businesses, time truly equals money — yet research by Harvard Business Review found that people recall only about 50% of their work time accurately when logging hours from memory at the end of the day. That gap between hours worked and hours billed translates directly into lost revenue. Fortunately, FreshBooks solves this problem with a dedicated time-tracking tool built right into its platform.
FreshBooks is a cloud-based accounting and invoicing platform designed specifically for small businesses, freelancers, and independent professionals. Rather than forcing you to use a separate time-tracking app, FreshBooks lets you log hours inside the same system where you manage clients, projects, expenses, and invoices. As a result, the entire workflow from starting a timer to getting paid stays in one place.
This article reveals exactly how FreshBooks time tracking works, how to set it up, and how to use every feature to ensure you bill clients accurately and efficiently. Whether you charge hourly rates or need detailed time reports for project budgets, FreshBooks has the tools to support you.
What Is Time Tracking in FreshBooks and Why Does It Matter?
FreshBooks includes a native time-tracking module under the Time Tracking tab in the main navigation. This module lets you record how long you spend on specific tasks for specific clients or projects. Once you log those hours, FreshBooks stores them as unbilled time entries that you can pull directly onto an invoice.
Tracking time inside FreshBooks matters for several important reasons. First, it eliminates the guesswork of reconstructing hours at the end of a week. Second, it creates an audit trail — every time entry carries a date, duration, description, and hourly rate, which gives clients clear justification for each line item on their invoice. Third, FreshBooks time tracking connects to project budgets, so you can monitor whether you are on track or heading toward scope creep before it becomes a problem.
Moreover, FreshBooks time tracking works across devices. You can start a timer on your desktop, pause it on the mobile app, and resume it later — all synced in real time. This flexibility suits professionals who move between locations throughout the workday.
How Do You Set Up Time Tracking in FreshBooks?
Before you start logging hours, spend a few minutes configuring FreshBooks properly. A solid setup ensures that every time entry connects to the right client, project, and billing rate from day one.
How Do You Create a Project and Assign Team Members?
Navigate to Projects in the left sidebar and click New Project. FreshBooks asks you to name the project, select a client, and choose a billing method. You have three billing options:
- Hourly rate per person: Each team member bills at their own unique rate.
- Hourly rate for the project: Everyone working on the project shares a flat hourly rate.
- Flat rate: The entire project bills at a fixed fee, regardless of time spent.
For time-based billing, choose either of the first two options. Next, add team members who will log hours against the project. FreshBooks lets you assign different rates to different collaborators, which is especially useful if you work with contractors or employees at varying pay grades.
How Do You Configure Your Hourly Rate in FreshBooks?
To set a default hourly rate, go to Settings > My Profile and enter your rate in the Hourly Rate field. FreshBooks applies this rate automatically whenever you log time without a project-specific override. However, if different clients pay different rates, set the rate at the project level instead — that way each project applies the correct billing amount without any manual adjustment.
Additionally, FreshBooks lets you mark individual time entries as billable or non-billable. Non-billable time still appears in your internal reports, giving you a complete picture of where your working hours go — even the hours you do not charge to a client.
How Do You Log Billable Hours Using the FreshBooks Timer?
FreshBooks offers two ways to record time: the live timer and manual entry. Both methods feed into the same system, so you can mix and match depending on the situation.
How Does the Live Timer Work in FreshBooks?
The live timer is the fastest and most accurate way to track time. Here is how to use it:
- Click Time Tracking in the left sidebar.
- Click the Start Timer button (the play icon) at the top of the page.
- Select the client and project from the dropdown menus.
- Type a brief description of the task you are working on.
- Mark the entry as Billable or Non-Billable using the toggle.
- Click the green Start button to begin the timer.
- When you finish the task, click Stop. FreshBooks automatically records the exact duration.
The live timer runs even if you navigate away from the Time Tracking tab, so you can work elsewhere in FreshBooks while the clock runs. Furthermore, if you use the FreshBooks mobile app, you can start and stop the timer directly from your phone — a particularly convenient feature when you work on the go.
How Do You Add Time Entries Manually in FreshBooks?
Sometimes you forget to start the timer, or you simply prefer logging hours at the end of the day. FreshBooks handles manual entry just as well. Instead of clicking Start Timer, click Log Time. A form appears where you enter:
- The date of the work.
- The start and end time, or simply the total duration in hours and minutes.
- The client and project it belongs to.
- A description of the task.
- Whether the entry is billable.
Manual entries carry the same weight as timer-tracked entries — both appear in your time reports and on invoices. Consequently, whether you prefer real-time tracking or end-of-day logging, FreshBooks accommodates your working style without penalizing accuracy.
| Feature | Live Timer | Manual Entry |
|---|---|---|
| Accuracy | Exact to the second | Depends on memory |
| Best For | Real-time task work | Retroactive logging |
| Mobile Support | Yes (iOS & Android) | Yes (iOS & Android) |
| Billable Toggle | Yes | Yes |
| Project Assignment | Yes | Yes |
| Description Field | Yes | Yes |
How Do You Organize and Review Tracked Hours by Project or Client?
Logging hours is only useful if you can find and review them easily. FreshBooks organizes time entries in several views that help you understand where your time actually goes.
How Do You Filter and View Time Entries in FreshBooks?
Open the Time Tracking tab and use the filter bar at the top to narrow entries by date range, client, project, or billable status. For example, if a client asks how many hours you spent on their project last month, you can filter by that client and date range in seconds — no spreadsheet required.
FreshBooks also displays a summary bar above your time entries showing the total hours logged for the selected filter period. This gives you an at-a-glance understanding of your workload and billable volume without needing to run a formal report.
What Do FreshBooks Time Reports Show You?
For deeper insight, navigate to Reports > Time Tracking. FreshBooks generates a detailed time report that breaks down hours by team member, project, client, or task. You can export this report as a CSV or PDF, which is particularly useful for sharing progress updates with clients or reviewing team productivity internally.
| Report Filter | What It Shows | Best Use Case |
|---|---|---|
| By Client | Total hours billed to each client | Client billing summaries |
| By Project | Hours per project across all clients | Project budget monitoring |
| By Team Member | Individual hours logged per person | Team productivity reviews |
| By Date Range | Hours logged in a specific period | Weekly or monthly workload analysis |
| Billable vs Non-Billable | Revenue-generating vs internal time | Identifying unbilled time gaps |
How Do You Convert Tracked Hours into an Invoice in FreshBooks?
This is where FreshBooks genuinely saves time. Rather than manually transferring hours from a separate tracker into your invoicing tool, FreshBooks converts logged time into invoice line items automatically.
What Are the Steps to Add Tracked Time to an Invoice?
Follow these steps to turn tracked hours into a billable invoice:
- Go to Invoices and click New Invoice.
- Select the client you want to invoice.
- Click the Add Unbilled Time button that appears after selecting the client.
- FreshBooks displays all unbilled time entries for that client. Review them, deselect any entries you do not want to include, then click Add to Invoice.
- Each time entry appears as a separate line item with its description, hours, rate, and calculated total.
- Add any additional line items, apply taxes or discounts, then send the invoice as usual.
Notably, FreshBooks marks those time entries as billed once you include them on a sent invoice. This prevents accidental double-billing on future invoices, which is a common and costly mistake when managing time manually across separate tools.
Can You Combine Multiple Projects on One Invoice?
Yes. When you create a new invoice and click Add Unbilled Time, FreshBooks shows all unbilled time across every project for that client. You can therefore consolidate hours from multiple projects onto a single invoice — a cleaner experience for clients who prefer one monthly statement over several separate invoices.
Furthermore, you can choose how FreshBooks groups time entries on the invoice: individually (one line per entry), by project (subtotals per project), or as a single summary line. Adjust this setting under the invoice options to match your client’s preferred level of detail.
How Do You Track Billable Hours Using the FreshBooks Mobile App?
FreshBooks offers fully featured iOS and Android apps that support time tracking on the go. For professionals who split their time between an office, client sites, and remote locations, the mobile app removes the friction of tracking hours away from a desktop.
What Time Tracking Features Does the FreshBooks Mobile App Include?
The FreshBooks mobile app includes the following time tracking capabilities:
- Start, pause, and stop the live timer directly from your phone or tablet.
- Create manual time entries with client, project, and description fields.
- View all recent time entries and their billable status.
- Switch between clients and projects on the fly.
- Sync all entries instantly with your desktop account.
According to FreshBooks, users who track time on mobile log up to 30% more billable hours on average compared to those who only track time at their desk. The reason is straightforward — when your timer is always in your pocket, you capture short tasks like client calls, quick reviews, and travel time that desktop-only users tend to forget.
Does FreshBooks Integrate with Other Time Tracking Tools?
Yes. If you already use a dedicated time-tracking tool like Toggl, Harvest, or Clockify, FreshBooks integrates with several of these via its native integrations and Zapier. Time entries you log in a connected tool sync into FreshBooks automatically, so you can keep your preferred tracking workflow while still benefiting from FreshBooks’ invoicing and reporting features.
That said, most FreshBooks users find the built-in timer sufficient once they get comfortable with the platform. The advantage of using FreshBooks’ own tracker is that time entries connect directly to projects and clients without any import step — keeping your workflow as streamlined as possible.
What Are the Key Takeaways for Tracking Billable Hours in FreshBooks?
Ultimately, FreshBooks removes the biggest pain point of hourly billing: the gap between hours worked and hours actually invoiced. By combining a live timer, manual entry, project organization, and one-click invoice conversion in a single platform, FreshBooks ensures that no billable minute slips through the cracks.
The time tracking module in FreshBooks works because it integrates seamlessly with every other part of the platform. Hours you log connect instantly to project budgets, client records, and invoices. As a result, you spend less time on administrative tasks and more time on the work clients actually pay you for.
In addition, FreshBooks gives you the reporting tools to understand your own productivity — not just for billing purposes, but for making smarter business decisions. When you can see exactly where your hours go across clients, projects, and team members, you gain the insight needed to price projects accurately, identify unprofitable relationships, and grow your business with confidence.
Whether you are a solo consultant tracking every six-minute increment or a small agency managing a team of contractors, FreshBooks scales to fit your needs. Start with the live timer on day one, and over time explore project budgets, team time reports, and mobile tracking to build a billing workflow that works effortlessly.
Frequently Asked Questions
Yes. FreshBooks lets you set a unique hourly rate at the project level, which overrides your default profile rate. When you create or edit a project, simply enter the rate you have agreed on with that specific client. From that point on, every time entry logged against that project automatically applies the correct rate. This means you can serve clients at different price points simultaneously without any risk of billing confusion — FreshBooks handles the calculation for each project independently.
If you delete a project in FreshBooks, the time entries associated with that project are also removed from the system. Therefore, before deleting any project, make sure you have either invoiced all billable time entries or exported the time report as a PDF or CSV for your records. FreshBooks does not archive deleted project data, so this step is important to avoid losing billing history. As a best practice, consider marking completed projects as archived rather than deleting them — archived projects disappear from your active list but preserve all associated time entries and invoices.
