Hour Cap
How it works

How client work stays profitable

Three moving parts: track what the work is really costing, cap what you agreed to deliver, then bill all of it through Xero. Track, cap, bill. Here is the whole thing, start to finish.

Watch it

The whole thing, in six minutes

No voiceover, so it is safe to play anywhere. Jump to the part you came for.

The model, in one screen

Most of the confusion with time tracking tools is not knowing what lives inside what. Hour Cap has four things, and they nest.

Client
Who you bill. Usually mapped to a contact in your Xero organisation.
Project
A piece of work for that client. Optional: ad-hoc work can sit straight on the client.
Budget
A retainer that resets each period, or a fixed-price cap for a scoped project. Also optional.
Time entry
The hours themselves, with the description that becomes your invoice line.

Only the client and the time entry are required. Projects and budgets are there when you want them.

Step one

Track

Start a timer when you begin, or enter the time afterwards as a duration. Hour Cap accepts what you would naturally type: 1h30m, 1:30 or 8h.

The important part is the description. Write it now, in full, because this is the text your client reads on the invoice.

  • Timer or manual duration, whichever suits the task
  • Multi-line descriptions, not a single cramped field
  • Billable rate resolves automatically: project, then member, then organisation default
  • Log against a project, or straight against the client for ad-hoc work
Timer running 01:24:33
Client · Project
Acme Corp · Website retainer
Description

Redesigned the header navigation to support mobile breakpoints.

Tested on iOS Safari and Chrome Android. Fixed z-index layering issue with the dropdown menu.

Step two

Cap

Give the project a budget and Hour Cap does the arithmetic for you. A retainer resets on its own schedule, weekly through to quarterly or a custom period, so you are never manually rolling numbers into a new month.

The point is to find out at 80%, not at invoice time.

  • Recurring retainers that reset each billing period
  • Fixed-price caps for scoped projects
  • Progress shown against the cap as hours land
  • Alert thresholds you set per budget
  • Overruns stay visible so you can decide: absorb, or bill it
Under the cap Fixed price
14.5 / 40h
36% 25.5h remaining
Getting close Monthly retainer
6.5 / 8h
81% 1.5h left · 11 days remaining
Over, and flagged Monthly retainer
11.3 / 10h
113% 1.25h over
Step three

Bill

Pick a client and a date range. Hour Cap gathers every invoiceable entry, groups them the way you have chosen, and shows you the invoice before anything leaves the building.

Push it, and a draft invoice appears in Xero. You approve and send it there, exactly as you do today.

  • Group lines per entry, per project, per date, or per team member
  • Your descriptions arrive as the line item text, unedited
  • Hours and rates carry across, with tax and tracking categories applied
  • It lands as a draft, so nothing is sent without you
Requires the Team plan or above
Invoice preview Draft

Redesigned the header navigation to support mobile breakpoints.

1.75 hrs × $150.00

$262.50

Fixed cart totals rounding on multi-currency orders.

2.25 hrs × $150.00

$337.50

Weekly check-in and sprint planning.

1.00 hrs × $150.00

$150.00
Total $750.00
Pushes to as a draft

What you need to get going

Less than you would think. You can be tracking time in a couple of minutes and worry about the rest later.

To track time

An account. That is it. Add a client, start the timer, and you are running.

To use budgets

A project with a retainer or fixed-price cap. Retainers are on the Team plan and above.

To bill through Xero

An active Xero subscription and the Team plan or above. Connecting takes one OAuth click.

Frequently asked questions

Do I have to use Xero?

No. Tracking time, projects, budgets and reports all work without Xero. The Xero connection is what turns tracked time into a draft invoice, so if you invoice elsewhere you can still use Hour Cap for everything up to that point and export instead.

Do I need to create a project for every piece of work?

No. A time entry needs a client; the project is optional. Ad-hoc work can sit directly on the client and still be invoiced.

What happens when a retainer runs over?

Nothing is blocked. The budget shows as over, the overrun is visible before you invoice, and you decide whether to absorb the hours or bill them. The point is that you find out in time to choose.

Does Hour Cap send invoices to my clients?

No. It creates a draft invoice in Xero. You review, approve and send from Xero exactly as you do now. Hour Cap never sends anything to a client on your behalf.

What does it cost to try?

Nothing. Every new account gets 7 days with all features unlocked, including the Xero integration, with no credit card. After that you can upgrade or stay on the free plan.

Can my team use it too?

Yes. Invite members, set their roles and rates, and let managers approve timesheets before anything is invoiced. Multiple members are on the Team plan and above; timesheet approvals are on Business.

See it on your own work

Add one client, track an hour, and push it to Xero. That is the whole loop, and it takes about five minutes.

Free plan after the trial
No credit card
Set up in minutes