Rates and Functions

Rates

Legalsense determines the rate for work recorded on a client or matter from rates set on users, functions, and activities. This article explains how these rates work, how to set a personal rate for a user, and how to manage functions.

How rates work

Rates in Legalsense are linked to a user, a function, or an activity (time entry code).

• Personal rate: a rate set on an individual user.
• Function rate: every function (job title or role) has a rate, since this is a required field. A user without a personal rate inherits the rate of their function. For example, if the function Partner has a rate of €300, every Partner without a personal rate is billed at €300.
• Activity rate: every activity also has its own rate. See ↪ Activities.

If a user needs a different rate than their function rate, set a personal rate for that user.

Rate periods

Personal and function rates each apply for a date period. When you edit a rate, you see fields for a begin date and an end date:

• Leave both fields empty to have the rate apply indefinitely.
• Fill in only the begin date to have the rate start on that date.
• Fill in only the end date to have the rate apply until that date.

Typically, you leave the begin date empty for the first (oldest) rate period, and the end date empty for the last (most recent) one.

Rate history for a user, showing begin and end dates for two consecutive rate periods.

Note: If you add a personal rate with a begin date of today, all time entries before today are still valued at the function rate. To have the personal rate apply retroactively as well, leave both date fields empty.

Setting a personal rate

1. Go to Users → Users and click the user's name.
2. In the Rate and Function section, check the current settings. If the user has no personal rate, Is function rate shows Yes.
3. Click Edit next to the rate to add, change, or remove the user's personal rate.

User page Rate and Function section, showing whether the user has a personal rate or inherits the function rate.

Functions

A function represents a job title or role, such as Partner, Senior associate, or Paralegal. Every user has a function. Besides determining the rate for users without a personal rate, functions drive the Rate per function pricing scheme and the LEDES timekeeper classification. See Where functions are used below.

Adding or editing a function

1. Go to Settings → Lists → Functions. All active functions are shown here.

Settings page on the Functions list, showing all active functions.

2. Click New function, or open an existing function to edit it. Fields marked with an asterisk (*) are required.

New function form, used to create new functions.

3. In the Name* field, enter a name, such as Partner or Associate.
4. In the Rate* field, set the rate. It can be €0. The rate applies for a date period, just like a personal rate. See Rate periods above.
5. If your firm exports invoices in LEDES format, enter the function's LEDES abbreviation, for example PT for Partner or AS for Associate. See ↪ Invoices in LEDES format.

Assigning a function to a user

Function is a required field on every user. When you add a new user, you select their function from the list at Settings → Lists → Functions.

To change a user's function later, open the user and click Edit in the Rate and Function section. See ↪ User management for the other user editing options.

Function section on a user profile, with the edit icon highlighted.

Activity rates

To set the rate for an activity, go to Settings → Lists → Activities, open the activity, and set its Default rate. See the article ↪ Activities for the full list of activity fields.

Activity rate field, showing the rate configured for a specific activity.

Where functions are used

• Rate per function pricing scheme: when a client or matter is priced per function, Legalsense values all work at each user's function rate rather than at a rate set per user. See ↪ Pricing schemes for how this compares to rate per user and rate per activity.
• LEDES timekeeper classification: if your firm exports invoices in LEDES format, each user's function needs the abbreviation required by that standard. See ↪ Invoices in LEDES format for the full explanation of LEDES codes.