ROI = (gross value minus cost) ÷ cost × 100
The first source of value is billable hours that were worked but never made it onto an invoice, recovered and billed at your rate. The second is the time your team spends filling in, chasing and correcting timesheets, valued at your internal cost per hour. The cost side is the licence price for every seat plus the hours your team spends getting set up.
With the default agency setup, 15 billable people at $120 an hour recovering one hour a week at an 80% realization rate over 46 working weeks is $66,240. Thirty minutes of timesheet admin a week for 20 people, halved, at $45 an hour is $10,350. Together that is $76,590 of gross value against $3,297.60 of cost, which is an ROI of 2,223%.
Payback period
Payback is the cost divided by the value produced per working day, across 230 working days. For the default setup that is 9.9 working days.
Break-even: 3 minutes a week
Break-even minutes = cost ÷ (billable people × weeks × rate × realization) × 60
Ignore the admin saving completely and ask how much billable time alone has to come back to cover the cost. The cost divided by the billable value of one hour a week per billable person gives 2.99 minutes. If every billable person recovers three minutes a week, the cost is covered.