The Time and Materials budget type invoices based on actual work logged in Productive: hours tracked and expenses added are what get billed to the client.
📌 Tracking time against T&M services is essential for accurate billing. Untracked time can't be invoiced.
Billable Rate
The Billable rate setting on the left determines how rates are applied across your services, and also controls what the services section looks like on the right.
Choose from:
Person billable rate — the rate is specific to each person assigned to a service. Only that person can log time against it. The services section is called People, with columns for Person, Service type, Unit, Estimate, and Rate.
Service billable rate — the rate is specific to each service, regardless of who tracks time against it. The services section is called Services, with columns for Service type, Unit, Estimate, and Rate.
Single billable rate — one rate applies to all services in the budget, regardless of person or service.
For each service row, fill in the Service Type, Unit, Estimate and Rate inline.
📌 Select Show Custom Service Name to manually enter the service name, and Show Description to quickly describe the service for better organization.
Fixed Cap
Checking Fixed cap locks the invoiceable amount at your set total. Even if more hours are logged than estimated, the amount invoiced to the client won't exceed the cap.
Time Tracking and Bookings
You can enable or disable time tracking and bookings per service using the clock icon on each service row.
Non-Billable Services
Within a T&M budget, individual services can be marked as non-billable using the dollar sign toggle on each service row. Turning it off removes the rate from that service; hours tracked against it are still recorded but won't be billed to the client.
This is useful when a budget contains a mix of billable work and internal or overhead services that shouldn't appear on the invoice.
Expenses Budget
The Expenses budget section tracks expense line items separately from services. Each expense service creates a Piece service line item.
Each expense service can be set to one of three billing types:
T&M — invoice expenses as they're logged. Time tracking and bookings are not available on T&M expense services.
Fixed — invoice a preset amount regardless of actual expenses. Time tracking can be enabled via the clock icon, but we don't recommend it as logging time against a Fixed expense service can affect revenue recognition in unexpected ways.
Non-billable — track the cost without billing the client. Time tracking can be enabled via the clock icon if needed.
