Free Hourly Invoice Template
About This Hourly Invoice Template
If you bill clients by the hour, this template is designed specifically for you. Used by thousands of consultants, freelancers, lawyers, contractors, and service providers, this hourly invoice template makes time-based billing simple and professional.
The template's clear layout shows exactly what hours you worked, what tasks you performed, and your hourly rate. This transparency helps build trust with clients and reduces questions about billing. The Excel version even calculates totals automatically, saving you time on every invoice.
Whether you're a consultant charging premium hourly rates or a freelancer just starting out, this template provides the professional presentation you need while keeping detailed records of your billable time.
What's Included in This Template
- Time Entry Table: Organized columns for date, task description, hours worked, hourly rate, and line total
- Multiple Rate Support: Bill different tasks at different hourly rates on the same invoice
- Automatic Calculations: Excel version multiplies hours by rates and totals everything automatically
- Decimal Hour Support: Enter time in decimal format (e.g., 1.5 hours, 0.25 for 15 minutes)
- Task Descriptions: Detailed space to describe work performed during each time period
- Date Fields: Track when work was performed for better record-keeping
- Subtotal & Total: Clear breakdown of total hours worked and total amount due
- Tax Calculation: Optional tax line for jurisdictions requiring sales tax on services
- Payment Terms: Standard fields for due date and accepted payment methods
- Professional Header: Space for your logo, business info, and invoice details
How to Use This Hourly Invoice Template
- Download Your Format: Choose Word, Excel, or PDF based on your preference and software
- Add Business Information: Enter your company name, address, phone, email, and website
- Insert Your Logo: Add your company logo for professional branding
- Enter Client Details: Fill in client name, company, and billing address
- Set Invoice Details: Add invoice number, date issued, and payment due date
- Record Time Entries: For each billable period, enter the date, task description, and hours worked
- Set Hourly Rates: Enter your hourly rate for each line item (can vary by task type)
- Review Calculations: In Excel, totals calculate automatically. In Word/PDF, calculate manually
- Add Tax If Required: Include applicable sales tax or VAT if required in your jurisdiction
- Include Payment Instructions: Specify how clients can pay and any payment terms
- Save and Send: Keep a copy for your records and send to client promptly
Hourly Billing Best Practices
Maximize your hourly billing effectiveness with these proven strategies:
1. Track Time Accurately
Use a time tracking tool or app to record hours as you work. Don't try to remember hours at the end of the week or month - you'll always underestimate and lose money. Start your timer when you begin and stop when you finish.
2. Be Specific in Descriptions
Instead of "worked on project," write "developed homepage mockup" or "client meeting to review design concepts." Specific descriptions justify your hours and help clients understand the value provided.
3. Round Time Appropriately
Most professionals bill in 15-minute increments (0.25 hours). If you worked 7 minutes, round to 15 minutes. Worked 22 minutes? Round to 30 minutes (0.5 hours). This is industry standard and expected.
4. Bill Different Rates for Different Work
If you perform different types of work, consider charging different rates. For example, strategic consulting might be $200/hour while administrative tasks are $75/hour. This ensures you're compensated appropriately for high-value work.
5. Set Minimum Billing Increments
Many professionals have a minimum charge (e.g., minimum 1 hour billing). If a client calls you for a "quick 10-minute question," you still bill at least 1 hour. Make this clear in your contract upfront.
6. Invoice Regularly
Don't wait weeks to send invoices. Bill weekly, bi-weekly, or at minimum monthly. Regular invoicing improves cash flow and keeps your workload fresh in the client's mind, reducing payment disputes.
Frequently Asked Questions
Yes, the Excel version includes built-in formulas that automatically multiply hours by hourly rates and calculate your total. Simply enter the hours worked and your rate, and the template does the math for you. The Word and PDF versions require manual calculation, but the clean layout makes this easy.
Absolutely! The template includes multiple line items, allowing you to bill different tasks or services at different hourly rates. For example, you might charge $150/hour for design work, $100/hour for meetings, and $75/hour for revisions. This flexibility helps you charge appropriately for different types of work.
You can enter hours as decimals: 1.5 for 1 hour 30 minutes, 0.25 for 15 minutes, 0.5 for 30 minutes, or 0.75 for 45 minutes. Most professionals bill in 15-minute increments (quarter hours). The Excel formulas handle decimal hours automatically and calculate correctly.
Yes, this hourly invoice template is perfect for contractors, freelancers, consultants, and anyone who bills by the hour. It provides clear documentation of time spent and rates charged, which is essential for independent contractors and satisfies most client requirements for time-based billing.
Yes, the description column provides space to include dates, times, or detailed descriptions of work performed. Many professionals format it like: "3/15/2025 - Client meeting to discuss Q2 marketing strategy" or simply "March 15: Website development - homepage layout." Include whatever detail helps justify your time.