Switching Legal Billing Software Midyear: A Step-by-Step Checklist for Clean Records

Firms often stay on outdated or frustrating systems because of one persistent myth: “You can’t switch legal billing software midyear. You have to wait until January.” In reality, year-end has nothing to do with whether your records stay clean. The key is the quality of your cutover.

Switching legal billing software midyear actually can have major benefits for your firm, because you can choose the timing that works best for your budget and strategic goals. With the right preparation, you can make the switch whenever it makes sense for you.

Why Midyear Switches Work

Any month-end can serve as a clean conversion point, because financials close monthly; your trust accounts, AR, and bank accounts should be reconciled at month-end every month. After the switch, your opening balances can be set from the prior month, and all reporting periods will remain intact.

Before the Switch: Pre-Migration Checklist

The pre-migration work is a collaboration between your firm and your new software vendor. The better your pre-work is, the smoother the cutover will be.

• Reconcile all bank, trust, and operating accounts. Accounting staff complete this step, including the standard three-way reconciliation for the trust.
• Resolve open AR anomalies. Accounting staff fix any unapplied payments, negative balances, and lingering credits that could interfere with a clean month-end.
• Confirm matter status accuracy. Accounting staff and timekeepers collaborate to make sure there are no hidden status problems that could impact month-end.
• Define what data migrates vs. what will be archived. This step is a collaboration with your staff and the vendor. You bring knowledge about your needs, and the vendor brings knowledge about the new system.
• Export a full backup of your current system. Do this before you start running old and new systems concurrently.

The Cutover: Migration-Day Checklist

The cutover is the moment you stop entering data in the old system and start entering it in the new one. Here are the most important steps:

• Select the official conversion date. This is typically the last day of a month.
• Load opening balances. Make sure to include AR, trust, WIP, and retainers.
• Verify trust ledger accuracy. Re-run your three-way reconciliation, since trust account errors pose the biggest risk to the firm.
• Run old and new systems concurrently. This parallel work allows you to validate the migration before go-live and train on the new system.
• Confirm user access and permissions. This is an essential financial and ethical control, and will need to be set up carefully with assistance from the vendor.

After Go-Live: First-Month Checklist

Your first month in the new system is about validation and confidence-building. Once the first billing cycle and reconciliation match expectations, the transition is complete.

• Perform a full first-month reconciliation. Expect to spend a bit more time in the beginning as your team gets used to the new process.
• Validate the first billing cycle. Go through the process of pre-billing, edits, approvals (and e-billing, if applicable) to test out the new workflow.
• Confirm trust balances match the old system. Adding this step to your regular three-way reconciliation reduces error risk.
• Ensure archive access to your old system. Many firms do not migrate all data, but you will likely need access to some data to comply with retention requirements.
• Document any workflow adjustments. Update your written procedures to keep them in sync with your new system.

What Good Migration Support Looks Like

A smooth midyear switch depends heavily on the vendor’s onboarding process. Tabs3’s onboarding team specializes in structured month-end cutovers including:

• Clear data mapping. We create a clear plan for which data moves, what is archived in the historical system, and how migrated data appears in the new system.
• Hands-on reconciliation assistance. The first reconciliation is a learning period for your staff. Our veteran staff work shoulder-to-shoulder with you to complete it.
• Parallel period guidance. We work closely with your staff during the parallel period to make sure everything is just right before go-live happens.
• Training for billing, trust, and reporting workflows. We offer a mix of robust self-serve support and hands-on training for your staff.
• Responsive support during the first billing cycle and month-end. Our support team is here for you as you try out new processes for the first time (and beyond).