How Agent Billing Works

This page explains how agent work flows from tracked time to client invoices.

The Full Flow

Agent works → Time entry created → Manager approves →
Invoice generated → Client pays
         ↓
LLM expense created → Included in invoice (optional)

Rate Structure

Agent users have their own rates, separate from humans:

Component Set Where Example
Agent hourly rate Team → Agent User → Billable Rate £75/hr
Agent cost rate Team → Agent User → Cost Rate £5/hr
LLM unit price Expense Categories → LLM Usage £0.003/1k tokens

Margin Calculation

Revenue: Agent hours × billable rate + LLM cost pass-through

Cost: Agent hours × cost rate + actual LLM spend

Margin: Revenue - Cost

Example

Line Item Revenue Cost Margin
6h agent work @ £75/hr £450 £30 £420
180k tokens @ £0.003/k £0.54 £0.54 £0.00
Total £450.54 £30.54 £420

Tips for Clients

  • Be transparent about agent work on invoices.
  • Use separate line items for agent time and LLM costs.
  • Include a brief explanation the first time a client sees agent charges.
  • Consider a lower rate for agent work to reflect the reduced human effort.