---
title: "How To Guide: Getting Started with Agreements"
url: "https://help.psarev.io/en/article/how-to-guide-getting-started-with-agreements"
language: "en"
last_updated: "2026-11-13T14:17:12.672Z"
---

# How To Guide: Getting Started with Agreements

1. Introduction

![1](https://export.supademo.com/renders/yp6h6zp9ua/out.png)

2. To find your agreements, click **Customers** in the sidebar menu and select **Agreements**.

You can also open the *Agreements* tab in the *Billing* section of any customer's profile.

![2](https://export.supademo.com/renders/hpwsrfyv94/out.png)

3. Every agreement is made up of **components**, the billable building blocks of the agreement.

There are four component types: **Block Hours, Time and Materials, Recurring,** and **One-Time Items**.

An agreement can have only one component of each type.

![3](https://export.supademo.com/renders/0eq0w5u12q/out.png)

4. **Tickets** are added to an agreement automatically. A ticket joins the agreement when its service is covered by one of the agreement's components, or when its ticket type is one of the agreement's ticket types.

![4](https://export.supademo.com/renders/dgn5p0xfv2/out.png)

5. Before you build agreements, complete a few setup steps in **Admin**, **System Settings, Agreements**. First, open the **Time Entry Rates** tab.

![5](https://export.supademo.com/renders/ynvzcyylkc/out.png)

6. To see every time log reason, click **Filters**, set **Status** to *All*, and click **Save**. You can also filter by *Active* or *Inactive*.

***Tip!*** *Time log reasons that existed before Agreements was released start out inactive, and only active reasons show here by default. You may need to look at inactive Time Log Reasons.*

![6](https://export.supademo.com/renders/s9jac59ppe/out.png)

7. Click a reason to turn it on for agreements. Until at least one reason is active, the **Time Log Reason** list on agreement rates stays empty.

![7](https://export.supademo.com/renders/rjbhnxqcbu/out.png)

8. Turn on **Active**. If time logged with this reason is billable, turn on **Billable** too.

Then set the standard agreement **Rate** and **Cost**. Individual agreements can override this rate.

Click **Save** when you're done.

![8](https://export.supademo.com/renders/3gbeyf6np5/out.png)

9. The **Impact Preview** shows which templates and agreements a rate change affects. *Locked* agreements are always skipped.

Click **Save** to save the rate only, or **Apply Changes** to push it to linked templates and agreements. The **History Log** shows past changes.

![9](https://export.supademo.com/renders/riienyo3ag/out.png)

10. Next, open the **General** tab and choose the **Labor Product Type**. This product type is used to bill labor usage from agreements, such as overage charges. This is a one-time setup.

![10](https://export.supademo.com/renders/nx8lexydfm/out.png)

11. Overage Templates are optional, but they save time when using block hours. You can apply Overage Templates to Agreement Templates once they are created to save time.

On the **Overage Templates** tab, click **New Overage Template** and **name** it.

Choose **Simple (single multiplier)** to apply one multiplier to all overage hours. For example, adding 1.5 to the **Multiplier** field bills overage at time and a half.

![11](https://export.supademo.com/renders/eh571yk628/out.png)

12. Or choose **Tiered (multiple ranges)** to use different multipliers as hours go up.

Enter the **Hours From, Hours To,** and **Multiplier** for each tier. Click **Add Tier** to add additional tiers.

Tiers must be in order with no gaps. The last tier must have a blank value in the **Hours To** field. Click **Create** to save.

![12](https://export.supademo.com/renders/sunr1z2ns4/out.png)

13. Your overage template is ready to use on *Block Hours* components. With setup complete, you're ready to build your agreement templates.

![13](https://export.supademo.com/renders/7dmiqwf5df/out.png)