---
title: "Does FreshBooks Track Time and Billing Together? Yes, How"
description: "Yes. Log hours to a client's project, then add the unbilled time to an invoice by day, team member or service. Billed entries lock. Worked example inside."
url: "https://mcc-solutionsnj.com/bookkeeping/guides/freshbooks-time-tracking-and-projects"
---

Bookkeeping guide · Updated October 12, 2026

# FreshBooks Time Tracking, Projects and Billing

FreshBooks is built around service businesses that bill for time. Its time tracking, projects and invoicing connect, which helps solo professionals and small agencies avoid leaving billable hours unbilled.

By [Matthew Coleman](/about), MCC Solutions

**Quick answer.** Yes. In FreshBooks, time tracking, projects and invoicing connect: log hours against a client's project, then add the unbilled time to a new invoice, grouped by day, team member or service. Once billed, the entries lock so they cannot be billed twice.

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## Create a client and a project

Add the client first, then create a project for each engagement. Choose how it will be billed: by hourly rate for the project, by the rate of each team member, by service, or a fixed price. Add a budget in hours or dollars, so you receive a warning as you approach it. Plans differ in how many clients or team members are included, so check what yours allows.

## Track time properly

Use the timer, the mobile app or manual entries. Add short notes that a client would understand, since those notes can appear on the invoice. Mark entries billable or not. Time that is worked but not billable, such as a discount for a long-standing client, is still worth tracking, so you know the real return on that account.

## Convert time into invoices

When it's time to bill, choose to add unbilled time to a new invoice. You can group by day, by team member or by service. Review the entries for odd durations before sending. Once billed, entries are locked to avoid double billing. Include expenses that were marked as billable to the client.

## Expenses and receipts

Capture business expenses by uploading a photo or connecting a bank account. Assign each to a client or project, and mark it billable if your agreement allows. Markups should be written into the contract. Categorize the rest in the usual way so the business profit and loss is complete.

## Check profitability

The project dashboard compares hours logged, budget used and revenue. Look at the effective hourly rate: total revenue from the project divided by the hours worked. If it is lower than your standard rate, find the cause, whether scope creep, discounts or unrecorded time. Use that knowledge when you price the next proposal or negotiate a renewal.

Review the unbilled time report weekly. Hours that sit unbilled for a month tend to get forgotten, and the client's memory of the work fades too. Billing promptly helps your cash flow and the relationship.

## Team members and approvals

If you work with staff or subcontractors, give each person a login so their time is tracked in their name. Review submitted time before invoicing and agree on how to handle corrections. Rates for a team member can differ from the rate you bill the client, which lets you see the margin on each hour. Keep records of who worked on what in case a client questions an invoice.

Not every project is hourly. For a retainer, record the hours anyway to compare effort with the fee. For fixed-fee work, track time to learn whether the price was right. When hours run far above the fee, adjust your next quote or define scope limits more tightly. The data is already in the system, so use it each quarter to review pricing.

## Worked example with numbers

You log 10 hours at $75 an hour, which converts to a $750 invoice line. You add $60 of billable expenses, so the invoice totals $810. If your actual cost was $400 of contractor time plus the $60 expense, the project profit is $810 - $460 = $350.

## Mistakes that cost money

Untracked time. Inconsistent rounding. Not linking expenses to projects. Forgetting to invoice logged time.

## Check your work

Run a monthly report of unbilled time and expenses.

## Common questions

**Can I give team members access to only their time?**

FreshBooks offers team member roles with limited access on supported plans. Check your plan details.

**Does time tracking work offline?**

The mobile app may hold entries until you reconnect, but test it before relying on it.

This guide is general information, not tax, legal or accounting advice. Rules, fees and due dates change; check with the IRS, the NJ Division of Taxation or a licensed professional for your situation.

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