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How much of a lawyer's day is billable, and what that leaves out

A published benchmark shows how hours shrink from time captured to time billed and collected.

Lawyers are asked to bill time, and the working day holds more than billable work. How much of the day becomes revenue is a question every firm asks.

This article reports one published benchmark and is careful about what it can and cannot show.

What the benchmark reports

Clio publishes benchmarks from its Legal Trends Report on its Law Firm KPIs page. They come from Clio's own customers, so they describe firms that use Clio and not every firm.

  • Vendor usage data, not all firms

    Clio, Legal Trends Report 2025, Law Firm KPIs page, 2025 (https://www.clio.com/resources/legal-trends/benchmarks/): based on aggregated, anonymized data from tens of thousands of firms that use Clio, lawyers capture 3.0 billable hours in an 8-hour day. The utilization rate is 38%.

  • Vendor usage data, not all firms

    Clio, Legal Trends Report 2025, Law Firm KPIs page, 2025 (https://www.clio.com/resources/legal-trends/benchmarks/): the realization rate is 88%, which the page gives as 2.6 hours billed. The collection rate is 93%, which the page gives as 2.4 hours collected.

Captured, billed, collected

The benchmark follows time through three steps: captured, billed and collected. Each step gives a smaller number than the one before it.

That is the reason firms look at how time is recorded, how it is invoiced and how it is paid, and not only at hours worked.

Unbilled time is not the same as administrative work

The gaps between captured, billed and collected time are about billing and collection. They do not say how much time goes to administrative work.

The source gives no measurement of administrative time, so this article gives none. We do not estimate how much of a day that work takes.

The tools firms already use

The American Bar Association reports on technology use in firms. This figure comes from a survey, so it reflects what firms reported. The release does not state a sample size, and none is given here.

A study by the software vendor

The same report includes a study Clio ran on its own software. It is not an independent evaluation. It involved a small group of people, and it says nothing about other tools or about our work.

Where administrative work meets billable time

Administrative work competes for the same day as billable work. Retyping details into documents, chasing signatures and answering status calls all take the time of the people who bill.

Automation can take some of those steps off a person. We make no claim about how much time that gives back, because it depends on the firm.

Questions to ask before changing anything

  • Which tasks do people repeat every day, and who does them?
  • Where is time recorded late or not at all?
  • Which steps between time captured and money collected take the longest?
  • What would the firm measure to know a change helped?

Sources

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