What is a Law Firm Billing Manager (Salary, Pay, and more)

What is a Law Firm Billing Manager (Salary, Pay, and more)

Saad Ali
Written by Saad Ali
September 27, 2023

A billing manager is important in many businesses, especially in law firms.

Their responsibilities include a plethora of accounting tasks, including the accuracy of invoicing and a lot more.

But what exactly are their responsibilities, what do they do, and how much do they make?

Let’s find out.

What is a Law Firm Billing Manager?

A billing manager is part of a law firm that is responsible for taking care of the billing and financial side. Their primary responsibility is to make sure that the firm’s clients are accurately billed, and the payments are on time.

Today, billing managers leverage tools that help them achieve accurate billing, but their responsibilities are more than just billing the clients.
They have to oversee the whole billing process management, invoice preparation, client communication, financial reporting, compliance, budget, and more.

Billing managers play a huge role in ensuring that law firms can collect their revenue or legal fees efficiently and accurately.
This is why they must understand the law firm’s billing policies and procedures.

Moreover, a billing manager must know the rules and regulations that attorneys have created. Communication is one of the biggest skills to have as a billing manager, but we will discuss that separately.

But first, we need to understand what a billing manager does.

What Does a Billing Manager Do? (Law Firm Billing Manager Responsibilities)

A law firm billing manager has a plethora of tasks and responsibilities.
They are responsible for overseeing and managing the billing process within an organization.
The main focus is to make sure that invoices are accurate and timely and the organization is thriving.

While the responsibilities of a law firm billing manager vary from firm to firm, here’s what they typically have to do:

  1. Invoice Generation: A billing manager’s most important task is generating invoices. This is where the billing process starts. They must oversee the creation of invoices for the organization’s products or services. Law firms case, they offer consultancy and charge fees based on it. To do that, they calculate the lawyers’ hourly rate and then send an invoice to the client that they can bill accordingly. Many law firms use time-tracking software to bill with no error margin accurately. It’s easier and more effective.
  2. Billing Process Oversight: They also need to oversee the entire billing process. The billing process is a law firm’s process from start to finish. It’s right after a client is onboarded into the firm when the case is closed. A billing manager ensures that attorneys and support staff can accurately record their billable hours and other expenses related to the case. This is important because it ensures everyone gets paid well while the firm makes a profit.
  3. Time and Expense Tracking: Going deep into the rabbit hole, billing managers need to manage the timekeeping and expensive tracking systems that attorneys and staff use to log in their billable activities. For example, a law firm might use a time tracking tool to log in their time. The law firm billing managers need to validate their time, see whether they’ve completed the tasks, and then calculate the payroll. They also train the staff to use these systems accurately, meaning billing managers must be tech-savvy in today’s world.
  4. Communication: Just like most management roles, communication is key. Billing managers serve as a bridge between clients and the firm. They are a safe point for clients to discuss billing inquiries and initiate billing-related activities. Billing managers also explain invoice details and give additional information according to the client’s requirements. Whenever a billing dispute comes, the law firm managers are often held accountable.
  5. Training Employees: The role of a billing manager surpasses just working towards billing. It also incorporates spending a lot of time educating and training the staff with billing practices, timekeeping, and using various billing software. Not everyone is tech-savvy in a law firm, and it’s a manager’s job to teach them how various systems work.
  6. Budgeting: Budgeting is one of the main powers of a law firm billing managers. Billing Managers may contribute to the firm’s budgeting process by providing insights into revenue projections, anticipated billing, and potential financial challenges. They have much more valuable data than anyone in the organization. So, the insights billing managers have are very important for the firm to thrive.
  7. Trust Accounting: In some cases, Billing Managers are responsible for managing client trust accounts, ensuring that funds held in trust are properly accounted for and disbursed in compliance with legal requirements.

In other words, a law firm billing manager is vital in ensuring that the firm moves with health and stability. 
They balance the most important part of an organization, billing, but they have to do the management while considering the legal standards and regulations.

The role of a law firm billing manager incorporates a deeper understanding of legal billing practice and the ability to manage the chaos with the complexities of the legal industry.

Law Firm Billing Manager Job Description

A law firm manager plays an important role in a law firm’s billing and financial operations.
They make sure that all the financial operations run smoothly and efficiently.
The job description for a law firm billing manager will be something as follows:

Job Title: Law Firm Billing Manager


The Law Firm Billing Manager is responsible for overseeing the billing and financial aspects of the law firm’s operations.
They ensure accurate and compliant billing practices, handle client inquiries, manage accounts receivable, and contribute to the firm’s financial stability.


  • Billing Process Management:
    • Oversee the entire billing process, including time tracking, expense recording, and invoice generation.
    • Ensure all billable hours, legal fees, and expenses are accurately recorded and billed.
  • Invoice Preparation:
    • Prepare detailed and accurate invoices for clients, adhering to billing guidelines and legal regulations.
    • Verify that invoices include billable hours, legal fees, disbursements, and taxes as applicable.
  • Client Communication:
    • Serve as the main point of contact for clients regarding billing inquiries.
    • Address client questions and concerns related to invoices and billing matters in a professional and timely manner.
  • Collections Management:
    • Oversee accounts receivable, track outstanding invoices, and manage the collections process.
    • Initiate collection efforts when necessary and maintain records of collection activities.
  • Financial Reporting:
    • Generate financial reports related to billing and collections performance.
    • Provide insights and analysis to support financial decision-making.
  • Legal Billing Software:
    • Implement, maintain, and optimize legal billing software systems for efficient billing, reporting, and compliance.
  • Training and Education:
    • Provide training and guidance to attorneys and support staff on billing best practices, timekeeping, and the use of billing software.
  • Ethical Considerations:
    • Ensure that all billing practices adhere to ethical standards and legal regulations.
    • Prevent overbilling and address any ethical concerns related to billing.
  • Budgeting and Forecasting:
    • Contribute to the firm’s budgeting process by providing data and insights into revenue projections and anticipated billing.
  • Trust Accounting (if applicable):
    • Manage client trust accounts, ensuring proper accounting and disbursement of funds in accordance with legal requirements.
  • Audit Support:
    • Assist in financial audits by providing documentation and explanations related to billing and accounts receivable to ensure compliance with audit requirements.
  • Process Improvement:
    • Continuously evaluate and improve billing processes to enhance efficiency, accuracy, and workflow.

How Much Does a Law Firm Billing Manager Make?

The money that law firm billing managers make heavily depends on the law firm, location, and experience.
According to ZipRecruiter, a billing manager in the United States earns around $71,168 per year. However, the salary can vary a lot.

In major cities, law firm managers tend to earn a lot more than in small cities.
This is because smaller firms in rural areas are much less profitable than the bigger ones. Moreover, billing managers with more industry experience typically earn higher salaries than those new to the field.

We did some more research, and here’s the average breakdown of law firm billing manager salaries with their experience level:

Entry Level: Entry-level billing managers earn between $53,000 to $66,000 a year. They still need to have good enough experience to make an impact in a firm.

Mid Level: The mid-level billing managers make around $66,000 to  $83,000 a year, which is good pay for the responsibilities they are putting out.

Senior Level: The senior level goes above average, with an average salary ranging from $83,000 to $101,000. It is not the most profitable side of working at a law firm, but still good enough for the most part.

Top 5 Highest Paying Cities for Law Firm Billing Manager Jobs

Some law firms pay higher than others, and it is due to the firm size, their client base, and their overall profit. Some law firm billing managers also get bonuses and other forms of compensation like health insurance plans and even paid time off.

When it comes to the cities in the United States, here are the highest-paying cities for law firm billing manager’s job:

San Francisco, CA$98,500
New York, NY$96,000
Washington, D.C$94,000
Los Angeles, CA$93,000
Chicago, IL:$92,000
5 Highest Paying Cities

Final Verdict

If you want to become a billing manager, you need to ensure that you have the right skill set, experience, and pay you’re looking for. First, you’ll need to earn a bachelor’s degree in accounting, business administration, etc.

You may also want to consider earning a professional certification in billing or accounting. Additionally, gain experience by working in a billing or accounting department in an entry-level position.

Saad Ali

Saad started his Content Writing journey in 2019 on Fiverr, where he catered to over 100 businesses in different niches like SaaS, Crypto, Meta, Gaming, Entertainment, and more.

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