This video will walk through how to enter hard and soft cost expenses into Practice Pro.
Hard and Soft Costs
Hard costs are expenses charged to the client that involve a direct payment to a vendor. Examples include:
Court filing fees
Expert witness fees
Deposition transcripts
Other third-party charges incurred on behalf of the client
Soft costs are expenses that are charged to the client without a direct payment being made to a vendor. These costs can include various indirect expenses such as:
Photocopies
Postage
Mileage
Other indirect costs
Add a Soft Cost Expense
Follow these steps to enter soft cost expenses into the system:
Access the Expense Entry Form
Click the quick add icon in the top navigation bar.
From the dropdown menu, select ‘Expense’. This action opens the expense entry form.
Select the Responsible Member
The system will auto-populate the member responsible for the expense with the currently logged-in user.
You can change this if necessary and if your security permissions allow.
Choose the Cost Type
From the dropdown menu, select ‘Soft Cost’.
Select the Bill Type
You have two options:
Fixed Rate: Enter the total amount directly.
Quantity Rate: Enter a quantity and a per-unit rate. The system will calculate the total for you.
Complete Required Details
Client: Select the client associated with the expense.
Matter: Choose the relevant matter.
Soft Cost Type: Select the specific type of soft cost.
Description: If additional details are needed, add them in the Description field.
Amount:
For Fixed Rate, enter the total amount.
For Quantity Rate, enter the quantity. The rate will be pulled from the firm settings but can be updated if you have the appropriate security access.
Date: Enter the date of the expense.
Upload Supporting Documents
You can upload documents such as receipts or invoices. This is particularly useful for record-keeping and audits. 📄
Save the Expense
Once all fields are complete, click Save. Your soft cost expense is now recorded.
Add a Hard Cost Expense
Follow these steps to enter hard cost expenses into the system:
Click the Quick Add Icon: Located in the top navigation bar.
Select ‘Expense’: This will open the expense entry form.
Select the Responsible Member: The system auto-populates this field with the currently logged-in user. You can change it if necessary and if your security permissions allow.
Expense Type: Defaults to Client.
Bill Type: Defaults to Fixed Rate, but you can select Quantity Rate if needed.
Cost Type: Defaults to Hard Cost.
Client and Matter: Select the appropriate client and matter.
Vendor: Choose from the dropdown list. If the vendor is not listed, you may need to add a new vendor (if your security permissions allow) or request assistance from your admin team.
Vendor Invoice Number: Enter if available.
Description: Provide details about the expense.
Date of Expense: Enter the date when the expense was incurred.
Amount: For Fixed Rate, enter the total amount. For Quantity Rate, enter the quantity and the rate will be calculated.
Supporting Documents: Upload receipts or invoices for record-keeping and audits.
Click Save to record your hard cost expense.
Locate a Saved Expense
You can find your saved soft cost expenses in several locations within the system:
Time and Expenses Page: Access this from the left navigation menu.
Client’s Charges Tab: View expenses associated with a specific client.
Matter’s Charges Tab: Check expenses related to a particular matter.
