Automated billing software for MSPs

Frequently Asked Questions

• How billing automation works for MSPs

  step 1: capturing billable activities
  
  The automation journey starts with capturing billable activities across the MSP’s operations. A robust automated invoicing solution integrates directly with the MSP’s professional services automation (PSA) platform, where time entries, project milestones, and service tickets are logged.
  
  • Technician time – Every minute spent on client tickets or project tasks is tracked and categorized as billable or non-billable.
  • Recurring services – Managed services, SaaS licenses, and subscription-based offerings are automatically scheduled for monthly or annual billing.
  • Cloud usage – Consumption data from cloud services (e.g., storage, backup, or cybersecurity) is collected and mapped to billing rules.
  
  This ensures that no billable item is overlooked, closing one of the most common revenue leaks in MSP businesses.
  
  step 2: applying billing rules and pricing models
  
  Once activities are captured, billing automation software applies predefined rules that reflect the MSP’s pricing structure. This step eliminates guesswork and ensures consistency.
  
  • Hourly rates and role-based pricing – The system automatically applies the right rate for each technician or service role.
  • Recurring subscriptions – Contracts are billed automatically at the agreed frequency without manual intervention.
  • Usage-based billing – Cloud consumption and per-device pricing are calculated against usage metrics.
  • Discounts and custom rules – The system enforces pre-agreed discounts or client-specific billing conditions.
  
  By standardizing how charges are applied, MSPs avoid underbilling and reduce disputes.
  
  step 3: generating automated invoices
  
  After billing rules are applied, the system generates invoices automatically. This process consolidates all activities into a single, accurate, and transparent invoice.
  
  Each invoice includes:
  • Itemized service lines (time, projects, cloud services, subscriptions)
  • Rates and discounts clearly displayed
  • Automated tax calculations where applicable
  • Company branding and professional formatting
  
  Invoices can be scheduled to generate at regular intervals (e.g., monthly) or triggered by specific events (e.g., project completion). For clients, this creates a predictable billing rhythm, improving trust and reducing disputes.
  
  step 4: syncing with accounting systems
  
  Billing automation doesn’t end at invoice creation. To close the financial loop, invoices are synced with accounting systems such as QuickBooks Online, Xero, FreshBooks, or Sage.
  
  This integration ensures:
  • No duplicate data entry
  • Consistent records across PSA and accounting systems
  • Simplified reconciliation at month-end close
  • Faster financial reporting and visibility into accounts receivable
  
  By eliminating the need for manual entry, finance teams save hours each billing cycle.
  
  step 5: tracking performance and profitability
  
  A major advantage of billing automation software for MSPs is the ability to generate reporting and analytics. Automated billing platforms typically include dashboards for:
  
  • Revenue recognition – Track revenue by client, service type, or period.
  • Profitability insights – Identify underperforming contracts or services.
  • Outstanding invoices – Monitor unpaid invoices to reduce DSO.
  • Technician utilization – See how time is spent and whether billable targets are met.
  
  These insights help MSPs refine their pricing models, optimize service offerings, and improve long-term profitability.

• What is automated invoicing and how can it benefit my MSP?

  Automated invoicing uses software to generate and send invoices, eliminating the need for manual entry by tracking service usage and calculating charges automatically. This process increases efficiency and accuracy for MSPs by reducing the time spent on billing tasks and minimizing errors. It also enhances client satisfaction by ensuring consistent and transparent billing, improving cash flow and reducing operational costs. Overall, automated invoicing supports business growth and client retention, making it an essential tool for any MSP.

• What are the benefits of billing automation for MSPs?

  To put it all together, here’s how automation transforms MSP billing workflows:
  
  Efficiency – Invoices are prepared and delivered in minutes, not days.
  • Accuracy – Rules-based billing reduces manual errors and underbilling.
  • Cash flow – Faster invoicing means quicker payments and improved DSO.
  • Transparency – Itemized invoices build trust with clients.
  • Scalability – As MSPs grow, automation handles increasing volume without adding admin overhead.
  
  In short, billing automation software isn’t just a time-saver — it’s a growth enabler.

• What is billing automation?

  Billing automation refers to the use of technology to streamline the invoicing, from tracking time and services to generating and sending invoices without manual intervention. This system automates the entire cycle, including calculating charges, applying discounts, adding applicable taxes and producing detailed billing reports. For businesses, especially MSPs, billing automation reduces administrative workload, increases accuracy, improves cash flow by ensuring timely billing and enhances client satisfaction through consistent and transparent practices. It's a crucial component for efficient financial management and scaling operations.

• Can the automated invoicing software integrate with my current accounting system?

  Yes, Acronis PSA can integrate with your current accounting system to enhance efficiency and accuracy in your financial management. It supports integration with major accounting software such as FreshBooks, QuickBooks Online, Sage Business Cloud, Xero and SnelStart. This integration allows for the synchronization of key data, including the import of client and product information and the export of invoices, streamlining your billing and invoicing processes.

• How can invoice automation software help reduce errors in data entry and processing?

  Invoice automation software reduces errors in data entry and processing by eliminating much of the manual handling that typically leads to mistakes. The software automatically pulls and consolidates data from various sources, such as time tracking systems, service usage logs and client agreements, ensuring that all invoice details are accurate and consistent.
  Additionally, automated rules and validations are applied during the data processing stage, which catch inconsistencies and potential errors before the invoice is finalized. This automated verification process ensures that each invoice reflects the correct amounts, services and client details, reducing the likelihood of errors that could result in billing disputes or delayed payments. By streamlining these processes, the software not only maintains high accuracy levels but also enhances overall efficiency.

• Is sensitive financial data secure when using automated billing and invoicing systems?

  Yes, sensitive financial data is secure when using Acronis PSA for automated billing and invoicing. Acronis ensures data protection by employing encryption to safeguard data both during transmission and while stored. The system also implements strict access controls, so only authorized personnel can access sensitive information. Furthermore, Acronis complies with industry standards such as PCI DSS for payment security and GDPR for data protection, enforcing rigorous security protocols and data handling procedures to maintain the integrity and confidentiality of financial data.

• How does automated billing ensure accuracy and time savings?

  Automated billing systems ensure accuracy by eliminating the human errors typically associated with manual data entry and calculations. These systems use predefined rules and algorithms to accurately calculate charges based on service usage, contract terms and pricing models. They also automatically apply discounts, taxes and other financial factors, producing precise invoices every time.
  In terms of time savings, automated billing significantly reduces the hours spent on generating and sending invoices. Instead of manually compiling billing details, the system automatically gathers data, processes payments and updates financial records. This not only speeds up the invoicing process, but also allows MSP staff to focus on more strategic tasks, enhancing productivity and operational efficiency.