Software - Client Accounting

LSSe64 Client Accounting is more than the average time and billing program. It’s a comprehensive system designed for busy law firms. It’s a sophisticated system that is also simple to use. It’s a system that is appreciated by accounting departments, attorneys and staff alike. Give us a call when you’re ready for a personal demonstration. We’ll take the time to provide an in-depth walkthrough of the specific functions and features that are important to you. LSSe64 is a system that deserves to be seen first-hand. Below are just a few highlights of the LSSe64 Client Accounting module.

Time, cost and expense tracking

Time entry includes a timer, options for direct or batch entry, real-time validation of rates and bill amounts, text expansion codes, interactive spell check, custom formatting of narrative (bold, underline and italics) and user-defined templates for common transactions. Time entry also offers dozens of user-defined preferences so that each person can tailor the time entry experience to best suit their individual needs. For example:

      - populate hours field with the total of bracketed values entered within the narrative
      - automatically start the timer when a new entry is started
      - automatically capitalize the first letter of narrative
      - automatically add a period to the end of the narrative if the narrative doesn't already end with a period
      - automatically insert task code description into the narrative whenever a task code is used
      - and many more...

Cost entry is very similar to time entry, and also includes the ability to import data from third-party cost recovery systems. Client expenses entered in Accounts Payable automatically appear on client accounts and bills. If scanned copies of invoices or receipts are attached to the A/P transaction, those images become part of the billable expense transaction and can even be included on billing statements to the client.

Traditional and electronic billing

For maximum efficiency, all billing functions are contained within a single billing dashboard. Users can quickly see all of the clients and matters that are in the process of billing, along with the relevant billing information for each (i.e. original value, current bill amount, discount, billing notes, etc.). Right-clicking a matter (or several block-selected matters) instantly opens a quick task menu where it takes just one more click to hold, no-charge or write-off all of the selected matters. Double-click a matter to open a revision form that provides complete access to all kinds of billing options and adjustments. Discounts, bill amounts, holds, write-offs, etc. can be assigned to general categories like fees or costs (in total), to specific timekeepers or cost codes (in total), or to individual transactions.

The system can produce billing memos (prebills) and billing statements at any time – for selected matters or for larger pre-defined billing groups or batches. Billing statements can be reprinted as often as necessary, right up until the time that a bill is finalized. Even after a bill has been finalized, the system makes it easy to reverse a bill when needed.

When a billing statement is generated, a couple of clicks in the report viewer will automatically convert the statement to a PDF file and attach it to an Outlook email populated with the client’s billing email address. For any matters that require electronic billing in formats such as LEDES, Tymetrix or others, the system automatically creates the appropriate ebilling files whenever billing statements are generated. The system can even generate ebilling files retroactively using prior billing history.

Split and multi-party billing

LSSe64 provides three different methods for split and multi-party billing. Each method addresses a specific split billing requirement.

Multiple bill parties within a single matter. This method allows multiple bill parties to be defined within a single matter – each with a percentage of the total bill amount for which they are responsible. When generating billing statements, the system will create a statement for each bill party with the current charges shown at their full bill amount. Each bill party statement will include an additional line item showing something similar to “Your portion of current charges at 50% = $3,200.00”. Prior balance and total due for each party will reflect the values applicable to the respective bill party.

Split hours across multiple matters. With this method, there is one “master” matter where the split percentages are defined. When time is entered to the “master” matter, the system automatically splits the hours across the defined split matters based on their respective percentages. Each matter is billed and tracked independently of the others. This allows each matter to have their own billing rates, differing ebilling formats or separate billing schedules.

Split rates across multiple matters. With this method, time entered to the “master” matter is automatically copied to multiple matters – each with their own unique billing rates. The copied entries are created in such a way that the system maintains accurate “hours worked” productivity statistics as well as proper WIP values, even though the full original hours are presented on the billing statements to each of the split rate matters.

Flexible statement formatting

Statement formats are easily customized by selecting checkboxes that indicate which content you wish to include or exclude on the billing statements. For example, there are options in the fee detail section that allow you to include or exclude individual columns such as date, narrative, task code, activity code, timekeeper, hours, rate and value. Statements can optionally include a client summary page as well as matter summaries by timekeeper, task and/or activity codes. There are even options to specify the order in which to present time entries (date, task, activity or timekeeper).

The wording in statement headings, titles and totals can also be customized. For example, the title assigned to discounts could be “Courtesy Discount”, “Professional Discount” or any other phrase you choose. In addition, LSS provides a large text box to define a general message that appears at the end of each billing statement. This is useful for adding special content such as payment terms, payment options, ACH routing numbers, etc.

The system includes options that let you import custom image files to be included in the header and/or footer of the billing statement. The header image for example could include a color logo and address information – similar to what would appear on general business letterhead. LSS generates statements in full color, although they can be printed without color if you choose.

Customizable billing guidelines

Billing guidelines provide a way to enforce rules on data entry (primarily time entry) for individual clients and matters. For example, a billing guideline can be created so that hours entered to a particular matter are always in .25 increments, even if the firm standard is .10 hour increments. Other guidelines that can be defined for a client or matter include:

        - task codes optional, required or prohibited
        - activity codes optional, required or prohibited
        - require work location
        - display a warning if a time entry approaches or exceeds an applicable budget
        - display a custom message such as “N/C travel time”

Additional billing guidelines can be used to restrict which timekeepers are allowed to enter time to a client or matter. The system allows time entry to be restricted to specific timekeeper codes as well as general position codes.

Narrative restrictions can also be established for a client or matter. For example, a guideline can be created that restricts the use of the word “draft” in a time entry. The restriction can be defined to produce a warning when the phrase is used, or to prohibit its use entirely. Narrative restriction definitions can include a list of suggested replacements as well as examples of usage guidelines. For example, when the restricted word “draft” is found, the system could display a message requiring that the word be changed or removed, while suggesting that the word “prepare” be used instead.

Trust accounting

LSS maintains trust detail at the individual client/matter level. Billing statements can optionally include current trust balance as well as transaction detail. Trust deposits allow for an optional “clear date” to ensure that trust funds are not disbursed before the deposit clears.

Trust accounting is integrated with the LSS General Ledger and Accounts Payable components. Trust disbursements entered though Accounts Payable will automatically appear on the client’s account in Client Accounting. Trust deposits entered through Client Accounting automatically appear in General Ledger and Bank Reconciliation. LSS supports multiple trust accounts.

Replenishing trust can be enabled by specifying a minimum required trust balance for any given matter. When generating billing statements, the system will include a line item for “Trust amount due” for any amount necessary to bring a trust balance back up to the required minimum for that matter. During billing, an Unallocated Trust report quickly identifies matters with trust balances that can be applied to a prior balance and/or the current charges.

Comprehensive real-time financial dashboards

The Firm Summary dashboard in Client Accounting provides a real-time snapshot of firm-wide balances and statistics, including:

        - unposted hours, value, costs and expenses
        - posted but unbilled hours, value, costs and expenses
        - accounts receivable fees, costs, expenses, late charges, retainers and total
        - unapplied credits and retainers
        - trust balance
        - aging of WIP and A/R (fees, costs, expenses, late charges and total)
        - productivity statistics (time worked, billings, collections, write-offs, etc.) for the day, week, month, quarter and year

The Matter Inquiry dashboard provides the same information as the Firm Summary dashboard, but the values are related to individual matters or to an entire collection of matters associated with a particular client. In addition, the Matter Inquiry dashboard provides detailed views of timesheets, costs/expenses, billing and payment history, statements from history, trust transactions, documents, calendar events, related parties, case notes and more.

The Timekeeper Inquiry dashboard provides the same information as the Firm Summary dashboard, but the values are related to individual timekeepers. For a given timekeeper, the Financial Summary tab displays values as timekeeper, as responsible attorney and as contact attorney. A Custom Views tab provides the ability to configure up to twelve real-time graphs based on user-selected dates and productivity metrics. In addition, the Timekeeper Inquiry dashboard provides detailed views of billing rates, timesheets, documents and calendar events.

Unlimited billing rates

LSS provides several methods for establishing billing rates, ranging from simple to sophisticated. Any one law firm does not necessarily use all of these methods. But all of these methods are available in order to meet a wide range of firm requirements, practice types and client expectations.

Timekeeper rate levels. Timekeeper rate levels are general categories that are used to define the billing rates for individual timekeepers based on the type of work performed. Timekeeper rate levels might include things like Standard, Travel, Mediation and Trial. Timekeepers are assigned a rate for each rate level. The appropriate rate level can then be assigned to specific clients and matters, or they can be selected manually during time entry. There is no practical limit to the number of timekeeper rate levels that can be defined in LSS.

Positional rates. Positional rates can be assigned to individual clients and matters based on the position of the timekeeper performing the work. For example, rates can be defined for a matter according to timekeeper positions such as Partner, Associate, Legal Assistant or Other Staff. In this case, all partner time would be valued at one rate, all associate time would be valued at another rate, and so on.

Rate tables. Rate tables can use a combination of timekeeper rates and positional rates in order to define more complex rate structures that can easily be applied to groups of clients or matters. For example, some firms assign rates based on the year in which a matter was opened. In this case, the firm might create rate tables such as 2020, 2019, 2018 and so on, and then assign the appropriate table to a matter when it is opened. Later, if the firm chooses to adjust rates for all matters opened in 2018, they can simply modify the 2018 rate table and it applies to all associated matters. There is no practical limit to the number of rate tables that may be defined in LSS.

Exceptions and override rates. Even with the best rate planning, there can always be exceptions. Regardless of the rate methods used, override rates can always be assigned to individual timekeepers on specific clients and matters. And when an appropriate predefined rate doesn’t exist, timekeepers with sufficient permissions can always enter a specific rate during time entry.

Effective dates. All billing rates in LSS are associated with an effective date. This allows for next year’s rates to be established well in advance of year end. Or more likely, this allows new rates to be applied retroactively to a prior date. For example, on January 20, final decisions are made on new billing rates that actually needed to take effect on January 1. An effective date of January 1 can be assigned when entering/updating the new rates. Then, a simple global revalue function can automatically update January time that was already posted prior to the retroactive change.

Powerful search features

LSS makes it easy to quickly find just about anything in the system. Type just a few characters to instantly find clients and matters containing a specific phrase anywhere in their name or description. Additional options help refine which names appear in the search results. For example, show only my clients, include or exclude closed files, or show only those files that I worked on in the last 7, 30, 60 or 90 days.

An invoice search function quickly locates prior bills and balances based on a search by any combination of client, matter, range of invoice numbers, invoice dates, bill amounts and/or current balances. When payments need to be allocated to specific invoices or timekeepers (overriding the system’s default application method), a matter/invoice search function provides an efficient “point and click” selection grid to specify custom payment applications.

Every dashboard in Client Accounting (Timesheets, Costs, Payments, Trust, Billing, etc.) contains a comprehensive set of search fields that can be used to locate exactly what you’re looking for. In Timesheets for example, the system can search by any combination of timekeeper, date range, client, matter, description or time entry status (unposted, unbilled, non-billable, in billing, billed or disputed). Advanced search options include task code, activity code, phase, location worked, bill date, invoice number and more.

Full text search capabilities are included throughout the system, so that anything contained in the description fields of timesheets, costs, payments, trust, etc. is full text searchable.

Full integration with G/L and A/P

For any Client Accounting transaction that is entered, updated or deleted, LSS automatically creates the appropriate journal entries in the General Ledger system. When client payments are posted in Client Accounting, the system also creates the appropriate “deposit” in the G/L bank reconciliation module.

Specific interface details are largely firm-defined, providing a great deal of flexibility in the way that G/L transactions are created. For example, a firm may choose to maintain their G/L accounts receivable account(s) by office or their G/L fee income account by individual timekeeper. LSS generates the G/L interface transactions using whichever level of detail the firm selects.

When certain transactions are posted in Accounts Payable, LSS automatically creates the appropriate corresponding transaction in Client Accounting. For example, when a check is generated for a client expense (like a filing fee), the system will post an unbilled expense transaction to the client’s file. Accounts Payable also has the option to post an expense to a client file right when the A/P transaction is entered – even if the check won't be produced until a later date.

If an image file or PDF is attached to a client expense entered in Accounts Payable, that image is also attached to the unbilled expense transaction created in Client Accounting. This allows for things like scanned copies of invoices or receipts to become part of the client record, and to optionally be included on client billing statements.

Other Accounts Payable transactions that post to Client Accounting include trust disbursements, client expense credits (i.e. voids), unapplied credit refunds and unapplied retainer refunds.