We will walk you through how to apply an agreement type to a company in ConnectWise PSA, set billing parameters, and ensure time is tracked correctly. Ultimately making sure your agreements are both functional and billable
Step by Step:
- Navigate to a company record in ConnectWise and go to the Agreements tab.
- Click the “+” icon to create a new agreement.
- Select your Agreement Type (e.g., Managed Services) to auto-fill default settings.
- Defaults may include unlimited hours, monthly billing, and other parameters.
- Name the agreement using a consistent, clear naming convention.
- Set the Start Date and typically use No End Date unless it’s a fixed-term contract.
- Save the agreement to unlock additional settings and options.
- Add default Work Types to the agreement:
- Create an “Out of Scope” work type marked as Not Covered.
- Add an “RMM/Scripting” work type to track time from automated systems.
- These work types help define what’s covered vs. not covered under the agreement.
- Open or create a service ticket to test the agreement setup.
- Confirm the agreement auto-attaches to tickets on the correct board.
- Log two time entries: one with a covered work type, one out of scope.
- View the agreement to see how time is categorized under App Hours vs. direct billing.
- Covered time appears under agreement billing, while out-of-scope time bills separately.
- Use the info pop-out for a visual summary of covered vs. not covered time.
- Leave the agreement’s flat rate field blank if you want to itemize charges in Additions.
- Under the Additions tab, add line items like:
- Managed Servers (e.g., 3 @ $250 each) – Workstations (e.g., 75 @ $55 each)
- The Additions tab provides invoice transparency for clients.
- Understand that billing cycles (e.g., monthly) control when invoices generate—not the start/end dates.
- Use the Agreement Invoicing screen to view, filter, and generate recurring invoices.
- You can generate and preview an invoice directly from the agreement for client review.
