10/26/2026
π WHAT WOULD YOUR CFO ASK?
Your attorneys recorded 1,000 billable hours.
But how many of those hours turned into revenue?
That's where your realization rate comes in.
One common way to calculate billing realization is:
Amount Billed Γ· Standard Value of Billable Work Γ 100
If your team records $200,000 worth of billable work but invoices only $170,000, your billing realization rate is 85%.
The missing 15% may reflect discounts, write-downs, or other billing adjustments.
Tracking realization helps you understand how much of your team's work becomes billable revenue.