Reconciling Hours Worked With Clients

As a fractional consultant, you're often working with clients remotely and navigating a relationship based on trust. This can make it difficult to track your hours and ensure that you're being compensated fairly, as well as maintain the trust within the client-consultant relationships that you build.

In a recent poll on the Fractional Consultant Community, we asked how fractional consultants reconcile their hours worked with their clients. The results were as follows:

• We don't, it's on trust: 23 votes

• We use a timekeeping app: 1 vote

• We use a shared cloud document: 3 votes

• Other: 4 votes

Following this poll, some members of the FCC shared with us their thoughts / experiences and the reasons behind their working practices:

Jacob Midtgaard-Olesen, fractional CTO, told us that although he does complete ‘thorough time tracking in simple online sheets’ they are often not shared with his clients as the client-consultant relationships that he’s operating are ‘trust-based in nature’. Jacob also goes on to say that “the client may not need to see a detailed record but I still need the tracking for invoicing as well as a work log in case of a conflict down the line”.

If you have a good working relationship with your clients, you may not need to keep a record of the hours you’ve worked but as Jacob said, it’s always a good idea to have a system in place in case something goes wrong.

Vesna Djokich Leonard, Cofounder and Co-CEO of worX4you inc, explained that they use a time keeping app called Harvest to keep track of and report the hours worked to their client. Vesna went on to say that the app allows individual testers to include ‘an extremely detailed diary of what was done each day’ and was put to use as a result of a few clients that wanted ‘meticulous detail on invoices’. She goes on to say that ‘most clients do not need it or ask for it, but it's also good for us to refer back to when bugs are reintroduced or we need to track down information for devs and their customers’.

Vesna's approach is a good compromise between tracking your hours and focusing on outputs and goals. By using a timekeeping app, you can keep track of your time without having to spend too much time on it. And by including a detailed diary of what you did each day, you can provide your clients with the information they need to understand the value of your work.

Kaila Yates, Interim Chief Marketing Officer, explains that although she does not track the hours worked she usually does create a ‘'live' shared document or documented 'check-in' for time sensitive activity’. Due to the nature of the projects that she works on, and how the amount of time required to be spent on them will vary from week-to-week, Kaila and her clients agree her time ‘based on what's required’ as well as her availability.

While Kaila's approach is similar to Vesna's, it focuses on milestones and outcomes rather than specific hours. This can be a good way to track your work if you're working on projects that are difficult to quantify in terms of hours.

As you can see, there is no one-size-fits-all answer to the question of how to reconcile hours worked with your clients. The best approach will depend on your specific circumstances and the nature of your work.

However, there are a few things to keep in mind:

• Be clear and transparent with your clients about how you track your hours. This will help to build trust and avoid any misunderstandings down the road.

• If you choose to use a timekeeping app or tool, make sure that it works for you. There are many different timekeeping apps available so be sure to find one that fits your needs and budget.

• Documenting your work will help you to track your progress and provide evidence of your work if necessary.

• Be flexible. Sometimes, things don't go according to plan and you may need to work more or less hours than you originally anticipated. Be prepared to be flexible and work with your clients to find a solution that works for everyone.

Ultimately, the best way to reconcile hours worked with clients is to find an approach that works for both parties. By being clear, transparent, and flexible, you can ensure that you are being compensated fairly for your work, while also maintaining a positive relationship with the client.