Glossary
Time and materials (T&M)
Time and materials is a billing method where the customer pays for actual labor hours at an agreed rate plus actual material cost, often with a markup.
Time and materials is a billing method where the customer pays for actual labor hours at an agreed rate plus actual material cost, often with a markup.
T&M is used when scope cannot be defined up front — diagnostics, repairs, damage of unknown extent. The agreement fixes rates, not a total.
Its risk is disputes over hours. Recording time entries against the job, with notes, is what makes a T&M invoice defensible.