You Don’t Bill by the Hour? You Should Still Track Time – Here’s Why

As a business owner, do you think your team should only track billable time?

If you do, we’re about to change your mind!

Read on to learn about the importance of tracking time beyond billing purposes.

Reasons to track time when not billing hourly

You’ll get data you can use to better manage time

Tracking time accurately shows you where your team spends their time. It’s a crucial component for making sure you all are on top of your game when it comes to time management.

The traditional pen-and-paper method for time tracking is not effective enough because it’s time-consuming and prone to errors, among other things.

On the other hand, if you use an app to log work hours, you can analyze your team’s productivity for better time management.

To that end, you can choose from a number of tools available — but we recommend trying out Clockify.

Let’s start with the built-in Auto tracker and how you can use its data to manage time like a pro.

Auto Tracker
Clockify’s Auto tracker

When enabled, the Auto tracker records your activity, including all the apps you’re using and the web pages you’re visiting. For ease of use, you can then convert these logs into time entries.

A detailed list of all your work activities can help you see if your breaks are too long or if you spend too much time on certain apps for tasks that can be completed faster. 

Organize your time with Clockify

You’ll get data you can use to save money

Did you know that, on average, employees spend 5 hours per day communicating? Sure, communication is essential for teams to work together. But this statistic shows that not enough time is spent on focused work.

And we all know the saying — time is money.

That’s one more reason to use a time tracking app. For starters, it can help you identify hidden costs, like spending too much time on: 

  • Low-priority work, and 
  • Unproductive tasks.

Additionally, time tracking apps let you set up accurate rates by giving you insight into how much time you spend on each task. 

Finally, you can identify potential billable hours you’re not currently charging for.

With Clockify as your sidekick, you get to run reports that provide valuable data you can analyze. 

For instance, Clockify’s assignments report shows how much time your team spent on a project compared to the time you predicted would be enough to complete that project.

Assignment Report
Clockify’s assignments report

In other words, Clockify calculates the difference between the scheduled time and tracked time for you. 

If you charge a fixed rate, you can use this information to tweak the rates according to the time it realistically takes to complete such projects. Not only that, but such data also allows you to identify the projects that take too long to complete and cut costs by creating a strategy for working on these types of projects more efficiently.


If you’re interested in finding out more about how tracking work-related hours can be cost-effective, we recommend you read this article:

You’ll get the tools to motivate your team to stay productive

Having teams stay organized and productive when they have long tasks to complete is a common challenge organizations face. 

Working on such tasks without a clear plan for structuring that time can be quite demotivating. When the entire team isn’t motivated, it often leads to displeased clients and a loss in revenue.

That’s where the Pomodoro technique comes in handy — it divides your work into chunks separated by short breaks. Here’s an example of a Pomodoro session:

  1. Work for 25 minutes without any interruptions,
  2. Enjoy a 5-minute break,
  3. Repeat the first 2 steps 3 more times,
  4. Have a 15 to 30-minute break, and
  5. Repeat the whole process until your task is done.

When implemented correctly, this method is effective in motivating employees and helping them tackle procrastination

That’s because setting the timer builds a sense of urgency to complete or at least make as much progress on the task at hand as possible. Simultaneously, it puts your mind at ease because a break will follow after a short period.

Clockify makes employing this technique effortless.

The app comes with a built-in Pomodoro timer that you can adjust in line with your preferences. In fact, you can tweak the length of your work intervals and breaks any way you like.

Pomodoro Timer Settings
Pomodoro timer settings

Because Clockify’s timer is so easy to use and doesn’t require your employees to set dozens of alarms, this software makes the technique more effective and motivating.

Clockify: A time tracking tool packed with features

As you can see, time tracking is a powerful strategy that helps you: 

  • Cut business costs, 
  • Improve time management, and 
  • Organize your team and how they spend their time.

Clockify can help you meet all these goals. The app’s intuitive interface enables your team to track time easily and equips you to analyze this data to improve team efficiency.

For laser-focused team collaboration, try the productivity bundle. For one affordable price, you get Clockify for time tracking, Pumble for team communication, and Plaky for improved project management.

Olivera  Pribisic

Olivera Pribisic is a time management and productivity researcher and writer. She is always on the hunt for new methods to boost productivity and fight the “time thief,” that is procrastination.


Free time tracker

Time tracking software used by millions. Clockify is a time tracker and timesheet app that lets you track work hours across projects.

Clockify time tracker
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