How to Set Up Legal eBill Clients for Law Firms
We understand that each ebill client has unique needs, requirements, systems, and forms. As a result, it is essential to modify the setup instructions for eBilling regularly based upon new guidelines. Based on my experience, I have compiled a list of setup steps that have been successful for most eBill setups. To ensure a successful setup, we need to take several factors into account. We will guide you through each step of the way. If this is a new client setup, we will start from the beginning to ensure that everything is set up properly, so that the firm can function effectively and we can meet all of your client or supplier requirements. If this is a ebill switching system, then we also need to confirm the transitions is smooth and effective.
Documentation
When setting up a new client account, it's important to ensure they have all the information they need to do business with you. This could include providing them with remittance information and a W9 for tax purposes, especially if you're working in the United States. If your client needs ebills submitted through systems like Coupa, they may require an RFP. Keep in mind that the documentation required can differ from client to client, so it's important to confirm. Smart eBill Team works closely with firms to ensure that all necessary information is provided and that your client setup is a success.
Previous Invoices
If you are updating your client’s preferred method of billing from traditional billing to eBilling or if a client has decided to update their eBilling system, it's important to consider your previous invoices submitted. Were there any purchases or budgets required before? If so, you need to check to see if a budget or PO will be required this time. Additionally, you need to consider any unpaid invoices. Are there any invoices previously submitted to you that are currently unpaid? If there are, you must confirm if the unpaid invoices will be paid via the current submission or if the invoices need to be resubmitted to you in the new eBilling system, or will the invoices be automatically transferred by the client.
Blackout period
A blackout period is not something that always happens, but as an organization is getting acclimated with a new system, there are steps and procedures they need to take before accepting invoices. In addition, the organization needs to learn the new system in order to use it efficiently, and that takes time. A blackout period is any time period in which a client or consumer is not accepting invoices by any method or via any system. This is tough to experience when a client has been using an eBilling system for an extended period of time and then you suddenly no longer have access to the client network to check invoice statuses or to see any information for that matter.
When notice is received regarding a blackout period in the near future, one should make sure to submit any outstanding invoices before the deadline and make sure that you notify the lead attorney and superiors in the accounting/finance department.Also, make sure that you update billing instructions and invoice notes.
TImekeepers
When transitioning to a new system, it's important to make sure you have all the correct and accurate timekeeper rates entered into the ebill system for client approval. Once access to the client network has been established, double-check that the rates are entered properly and with as much detail as requested. Of course, there are exceptions to this rule, and sometimes, it's up to the client to submit the timekeepers themselves. It's always a good idea to err on the side of caution and submit the rates yourself when possible.
It's hit or miss if we recommend that you submit rate end dates when submitting rates, as new rates may not be required or allowed. However, if you do include end dates, make sure to submit the next effective rate within a reasonable time for approval. This ensures that there are no gaps in timekeeper effective rates that could cause confusion or delays.
Most eBill systems allow for both a submission of timekeepers via the online form or the option to upload a timekeeper template for approval. Once you've submitted the timekeepers, it's important to let your client contact know. I typically follow up with clients every 3 days or once a week, depending on how urgent the setup or setup deadline is.
Matters
It would be ideal if clients granted you access to ebill all open matters in advance, but unfortunately, that's not always the case. As a responsible party, it's up to you to make sure the client understands that access to their matters is imperative. To ensure that everything runs smoothly, I recommend sending the client a complete list of open matters that have any billed or unbilled time entries within the past six months. Then, reach out to the lead attorney for the client and inquire about any new work or additional matters that we may need access to in the near future. If they provide any new matter information, I add it to the list of open matters and request access to bill for all matters at once.
It's important to remember that some systems require manual input of the law firm matter ID, while others, such as Bottomline, require the creation of a matter with law firm access to the client network. Once you receive the matter access and matter IDs from the client, you should input the matter IDs into your law firm time and billing system for efficient ebilling.
Purchase Orders, Budgets, Status Reports, and more …
As a responsible and detail-oriented professional, you understand that clients may have concerns about the status of their work and the resources being allocated to it. To avoid any confusion or delays in the invoicing process, it's important to establish clear communication channels with your clients from the outset. Consulting with the lead or responsible attorney can provide valuable insight and data to satisfy their requirements. Additionally, it's best to monitor spending internally to ensure that any modifications to the original plan are accounted for and avoid unnecessary billing pauses.
Some systems, like Counsellink, allow clients to request Outside Counsel Guidelines acceptance before invoices can be submitted. If this is the case, it's important to download the guidelines without accepting them and send them to the lead attorney or your legal department for review. This will help ensure that all guidelines are being followed and that there are no surprises for either party when it comes time to invoice. Remember, we're here to support you every step of the way and ensure that your invoicing process runs smoothly and efficiently.
Time & Billing System Updates
To ensure that your LEDES won't get rejected, it's important to take certain steps within your own accounting system to ensure that the LEDES populate correctly. Here are a few updates you can consider:
Map and require the correct task, activity, and expense codes for all matters once the required codes have been confirmed and restrict timekeepers from using any other code lists.
Flag the client and applicable matter for billing if the client is 100% billed. If the client requests ebills for a portion of the matters, only flag the billed matters for reporting and billing accuracies.
Update the billing instructions to include the ebilling system and any additional requirements, including back-up and deadlines
Confirm the LEDES format and ensure you have the data setup correctly to populate all required fields.
If you use a consolidation system like Billblast or the eBillingHub, ensure all steps to configure a client have been completed.
I recommend including a link to a billing guidelines summary and the billing guidelines in the billing instructions so timekeepers and personnel know billing requirements.
Make sure to confirm all Time and Billing System Updates with Accounting Department managers for accurate system configurations.
Testing
It is easy to think, once all of the configurations have been completed the setup is complete. But there is only one way to know if the setup has been done correctly: prove it. One way to ensure that everything is set up correctly is to test an invoice submission before marking the setup as complete. This means submitting a LEDES file directly to the ebill system without bypassing the consolidation system if applicable and ensuring that it is successfully sent to the client for review. We understand that the steps involved may feel overwhelming and tedious, but our team at Smart eBill is here to assist you with the process and ensure that everything runs smoothly. Please don't hesitate to reach out to us if you require further help or have any questions. Schedule a free consultation today.
The Positive Environmental Impact of Remote Work
As we face the consequences of climate change, it's understandable that we may feel overwhelmed by the task of reducing our carbon footprint. But there is hope! One effective way to make a positive impact is through remote work. This practice allows us to work from home or another location, reducing our impact on the environment. Let's explore the many ways that remote work can help us achieve a more sustainable lifestyle.
Firstly, remote work can help reduce transportation-related emissions. By not commuting to work every day, we can significantly reduce the number of vehicles on the road. This means less air pollution and greenhouse gas emissions. According to a study conducted by Global Workplace Analytics, if people who have the option to work remotely did so just half of the time, it would reduce greenhouse gas emissions by 54 million metric tons annually. That is equivalent to taking 10 million cars off the road each year!
In addition, remote work can also help us reduce our energy consumption. By not using office space, we can save energy on air conditioning, heating, and lighting. Remote workers are also more likely to use energy-efficient devices and appliances, such as laptops and LED lights, which further reduces their carbon footprint.
Thirdly, remote work can help us reduce waste. When we work from home, we are less likely to use disposable cups, plates, and cutlery. We are also more likely to use reusable water bottles and containers, reducing the amount of plastic waste generated. Furthermore, remote workers are less likely to print documents, reducing paper waste. This not only reduces waste but also saves money for the company.
Lastly, remote work can help us promote sustainable living. When we work remotely, we have more control over our work-life balance, which allows us to prioritize activities that promote sustainability, such as cycling to work, growing our own food, and reducing our overall consumption. This not only benefits the environment but also promotes a healthier and happier lifestyle.
In conclusion, remote work is a powerful tool we can use to reduce our carbon footprint and mitigate the effects of climate change. By embracing remote work policies, we can make a significant contribution to creating a more sustainable future for ourselves and future generations. Let's work together to make a positive change!
The Importance of Reconciling Legal E-billing Systems
As the legal industry continues to embrace technology, electronic billing systems have become a popular way for law firms to manage their finances. However, with the rise of these systems come several challenges, including the need to reconcile them regularly.
Reconciling legal e-billing systems refers to the process of ensuring that the information in the billing system matches the information in the firm's accounting system. This process is critical because it helps identify discrepancies or errors in the billing process, which can have significant implications for the firm's financial health.
One of the main benefits of reconciling legal e-billing systems is that it helps to ensure accuracy. By comparing the information in the e-billing system to the firm's accounting records, you can identify any discrepancies and correct them before they become larger problems.
Another benefit of reconciling legal e-billing systems is that it can help to improve cash flow. By identifying errors in the billing process and correcting them promptly, you can ensure that your clients are paying you accurately and on time, which can significantly impact your firm's bottom line. Finally, reconciling legal e-billing systems can help to improve client relationships.
Ensuring that your billing process is accurate and transparent can build trust with your clients and demonstrate your commitment to providing high-quality legal services. In conclusion, reconciling legal e-billing systems is essential for any law firm that wants to remain competitive in today's digital age. Ensuring accuracy, improving cash flow, and building client trust can help your firm thrive and grow in the years to come. Smart eBill team specializes in this area and can provide you with the support you need. If you're interested in learning more, give us a call today.
What is eBilling?
Well, it depends on who you ask. Technically if you receive and pay bills online or electronically, you are ebillng. But ebilling differs for every industry and every system. Some government agencies create and require their contractors, consumers, and attorneys to submit invoices through a system that only requires one to input data.
What is the difference between medical billing and legal billing?
Submitting medical claims electronically to insurance companies and other payors is an important part of the medical billing process. It's also necessary to verify a patient's insurance coverage and keep track of payments until they are received by the medical facility. These steps help ensure that medical bills are processed and paid correctly, which benefits both patients and healthcare providers.
When it comes to legal eBilling, there are a number of different systems that are commonly used by corporations. These systems typically require users to input their billing information and attach a PDF copy of the invoice for review and approval. It can be an in-depth process, arguably equal to or more difficult than submitting medical claims electronically; but it's still an important part of ensuring that bills are processed and paid correctly.
What is LEDES?
When it comes to submitting legal bills through ebilling systems, there are various options available. Some systems, require or have the option to submit LEDES (Legal Electronic Data Exchange Standard), which requires users to create and use industry-standard file types for time entries. This helps to ensure that the billing process is streamlined and efficient, allowing for accurate review and payment. While it may be a more involved process than mailing or emailing invoices, it's an essential aspect of managing legal expenses for corporations.
What are the benefits of LEDES?
Submitting legal bills through ebilling systems, such as LEDES, provides a uniform process for reviewing time and cost entries. This allows clients and legal teams to quantify their spending on matters, categorize and report different matter types and work types, and review past billed and paid invoices in detail. It's an essential aspect of managing legal expenses for corporations and helps to ensure that the billing process is streamlined and efficient for accurate review and payment.
What is UTBMS?
When submitting legal bills through a LEDES-based system, it's important to use task, expense, and activity codes created and maintained by the American Bar Association in combination with the system. The Uniform Task-Based Management System (UTBMS) provides standardization to the billing process and there are specific codes for different matter types. To find the current UTBMS codes, you can click HERE and check the ABA website regularly for updates.
If you need help with ebilling projects, the Smart eBill Team Consultants are available to provide educational tools and services to improve electronic billing practices. They offer training materials, remote electronic billing services, in-house or virtual e-bill training, and consultation. Contact Smart eBill Team today for more information.
Navigating the World of E-Billing: 10 Ways to Improve Your Process and Show You Care
Improving the efficiency and transparency of our eBilling processes is crucial to fostering strong relationships with our clients and within our team. Here are refined guidelines to enhance our approach:
Understanding Your Client: It's important to know the specific entity to which you're sending invoices. This clarity ensures that your billing efforts are directed accurately from the outset.
Navigating the System: Familiarize yourself thoroughly with the eBilling system preferred by your client. This knowledge is foundational in delivering invoices in the format and manner they expect.
Invoice Vigilance: After submitting invoices, it's prudent to verify their successful submission. Regularly, at least once a week, revisit submitted invoices to check for any rejections or adjustments. This practice helps in maintaining a seamless billing cycle.
Verification is Key: Trust, but verify. If access or submissions are confirmed by a client or colleague, seek direct evidence from the eBilling system or vendor. This ensures all parties are aligned and fully informed of the status.
Consistent Follow-Up: Establish a routine to follow up on requests for information, access, or approvals every week. The responsibility of invoice submission rests with the eBiller, making proactive communication essential. Adjust the frequency of follow-ups based on the situation, keeping all relevant parties in the loop.
Acknowledging Errors: Transparency when mistakes occur is critical. Informing your superiors promptly allows for collective problem-solving, leveraging their expertise and network to rectify issues efficiently for the benefit of both the firm and the client.
The Learning Curve: Embrace the process of discovering client preferences and requirements through educated trial and error. While persistence is valued, recognize when to seek alternative solutions to meet client needs effectively.
Meticulous Record-Keeping: Diligently record every action taken with invoices, including submissions and updates. This historical record is invaluable when addressing disputes over timeliness or accuracy with clients.
Adaptability: Be prepared for changes in invoice review processes, client requirements, and industry standards. Staying ahead of these changes by regularly reviewing guidelines and standards ensures continued compliance and client satisfaction.
Patience Over Perfection: Recognize that eBilling is a detailed and measured task requiring patience and attention to detail. Avoid rushing to minimize errors that can strain relationships. There are no shortcuts in eBilling; understanding and adhering to the guidelines is key to success.
By adopting these refined practices, we aim to not only enhance our eBilling processes but also demonstrate our commitment to professionalism, compassion, and exceptional customer service. For assistance with ebilling contact Smart eBill Team at info@smartebillteam.com
Clients Want More Than LEDES Files Submitted Via their eBill Vendor: eBilling the Other Requests
Backup and Support Documentation Requests
Legal eBillers and Billers do much more than hit submit when submitting LEDES. Not providing certain information can cause nonpayment of an invoice, or a client's system audit will block the invoice from being transferred to the client until the information is provided or accepted.
Corporate clients often request support documentation to be submitted with a LEDES file. Support documentation requests may range from a PDF copy of the invoice to itemized receipts for approved expenses to confirmation of no costs or all of the above. A PDF copy of the invoice must be formatted according to the client's preferred format. One must have the correct information and enough discernment to determine what should not show on the invoice template. Backup is also known as receipts for legally incurred expenses, and in rare instances, backup is required to support some fees as well. Itemized receipts are generally preferred, and some clients want to see a PDF copy of the invoice and backup for expenses with every invoice. Even if there are no expenses on an invoice, one may be required to submit a piece of paper confirming the same.
Submitting Timekeepers, Rates, and Staffing Matter Plans
More often than not, clients want to know exactly who is working on their legal matters. What timekeepers have you assigned for a legal project? Several ebill systems simultaneously allow the submission of a timekeeper and a rate for client approval. The rate is effective for a specified period, regularly one year. And a new rate must be submitted for approval every year. Other ebill systems allow the submission of a timekeeper as a request for authorization to work on an organization's matters. Then a rate is typically submitted once the timekeepers have been approved and active on a client.
Some ebill systems require law firms to submit all timekeepers simultaneously, even if there is an addition to the team months after the engagement and timekeepers have been actively billing the client. For approval, the client may ask you to submit a fee offer, including all timekeepers' names, rates, and sometimes years of experience. Several corporations will only allow first-year or summer associates to bill on some issues.
A Staffing matter plan can be challenging to provide, as it may be as specific as projecting exactly how many hours each timekeeper will be during the life of the matter and/or agreement. If this is not calculated correctly, a firm may run the risk of nonpayment for services rendered.
Matter IDs, Matter Creation, and Updating the Matter Profile
Just as matters are created in a legal time and billing system at a law firm, matters are made in the corporate clients' legal operations department and their ebilling system. For a law firm to bill a matter, they must either have the client's matter ID in the law firm's LEDES file, or the law firm matter ID must be added to the client's matter in their ebill system or both. Matter IDs work like a lock and Key, and both parties should have both numbers for their records.
Specific ebill systems require the law firm to create the matter for billing in their ebill system before invoices can be issued. And other systems allow corporations to turn on system audits that require law firms to populate certain matter information before they can bill the matter such as the expected amount of time to complete the work or close the matter, including a file or application number, etc.
Budgets, Purchase Orders, Status Reports & Accruals
Submitting timekeeper rates and staffing matters plans are only some ways corporations can monitor the legal work being provided. They can also either give an electronic budget that the law firm has to accept or approve, or they can request a law firm to submit a budget for approval. Budgets can be created for a particular billing period, the matter's phase, or the matter's life.
Purchase orders(POs) or digital purchase orders are often created by corporations that confirm they are requesting services at least up to the amounts provided in the PO. Once the PO has been maxed out or the firm has billed all the allocated amounts, a new PO can be requested or created.
Some corporations want to inquire about the work while the work is ongoing. A status report may be digitally requested regularly to see if there has been a change in the status of the matter. For example, if a firm was hired to file a patent application and the application has been abandoned, the law firm may continue to bill their client for the work that was completed; however, there has now been a change in the status of the matter, and the client wants to be informed of the status.
An accrual estimate estimates incurred fees and expenses during a specific period or billing cycle. A client may request monthly or quarterly accrual before an invoice is issued. And if the accrual estimate needs to be more accurate or close to correct, the law firm again runs the risk of nonpayment of services rendered.
The possibilities of what a corporate ebill client can ask for via an ebill system are endless. They may even ask a law firm to accept the billing guidelines in an ebill system before invoices can be submitted. To learn more about Billing Guidelines' importance, Billing Teams Must Read Outside Counsel Guidelines before setting up a client account for ebilling.
There is a lot to monitor while ebilling high-profile corporate clients; as seen here, several factors can cause rejections other than timing, LEDES formats, and descriptions.
Smart eBill Team is equipped with the knowledge and a team with over 500 years of combined ebilling experience to help legal billing professionals and legal and operational Team maneuver through intricate ebill systems and complete tedious ebilling transactions. Don't hesitate to contact Smart eBill Team to learn more about our services today.
Legal Billing Teams Must Read Corporate Outside Counsel Billing Guidelines
Understanding and adhering to billing guidelines is crucial for any legal practice aiming to maintain efficiency and client satisfaction. It's essential that not only the lead attorney but also every member involved in the billing process, including timekeepers, support staff, and billing teams, familiarize themselves with these guidelines and any additional instructions before finalizing time entries and creating the first invoice. Billing guidelines serve as a blueprint detailing how, what, and when invoices should be sent or submitted to a client, ensuring transparency and alignment with client expectations. The role of the biller or ebiller is particularly significant as they are often the final checkpoint before an invoice is dispatched. This stage is an opportune moment to meticulously review the invoice for any formatting requirements and confirm if supporting documentation is necessary, showcasing our commitment to precision and client service.
In the evolving landscape of legal billing, an increasing number of clients are mandating the submission of Legal Electronic Data Exchange Standard (LEDES) through a third-party eBill system, moving away from traditional email invoices. This shift emphasizes the importance of understanding and complying with a client's specified system and LEDES format, as outlined in their billing guidelines. eBill systems not only streamline the billing process but also enable corporate clients to conduct thorough audits ensuring the accuracy of submitted invoices. Errors in the LEDES or missing support documentation can lead to the rejection of invoices, which underscores the need for meticulous adherence to billing guidelines to avoid delays or non-payment for services rendered.
Moreover, it's paramount to recognize the distinctions between billable and non-billable legal fees and costs as dictated by corporate clients. The landscape of legal billing is increasingly stringent, with clear limitations on billable hours, specified personnel for case work, and explicit conditions for when and where tasks are performed. Preapproval for certain tasks has become a norm, often necessitating written confirmation from clients. This rigor in billing practices necessitates a diligent review of billing guidelines by the billing department to ensure compliance, thereby minimizing billing disputes and fostering a transparent and trust-based client relationship.
At Smart eBill Team (SET), we are dedicated to empowering legal professionals with the knowledge and tools to excel in electronic billing practices. Our comprehensive suite of services includes training materials, remote electronic billing services, and personalized consultations to enhance your firm's billing efficiency and client satisfaction. Should you have any questions or wish to engage our services, we are always here to assist. Together, let's navigate the complexities of eBilling with confidence and professionalism. Happy eBilling!