diff --git a/erpnext/accounts/doctype/sales_invoice_timesheet/sales_invoice_timesheet.json b/erpnext/accounts/doctype/sales_invoice_timesheet/sales_invoice_timesheet.json
index e34accad9c..1191ea7153 100644
--- a/erpnext/accounts/doctype/sales_invoice_timesheet/sales_invoice_timesheet.json
+++ b/erpnext/accounts/doctype/sales_invoice_timesheet/sales_invoice_timesheet.json
@@ -96,7 +96,7 @@
    "columns": 0, 
    "fieldname": "timesheet_detail", 
    "fieldtype": "Data", 
-   "hidden": 0, 
+   "hidden": 1, 
    "ignore_user_permissions": 0, 
    "ignore_xss_filter": 0, 
    "in_filter": 0, 
@@ -126,7 +126,7 @@
  "issingle": 0, 
  "istable": 1, 
  "max_attachments": 0, 
- "modified": "2016-09-08 05:36:00.922319", 
+ "modified": "2016-09-09 14:01:04.095775", 
  "modified_by": "Administrator", 
  "module": "Accounts", 
  "name": "Sales Invoice Timesheet", 
diff --git a/erpnext/projects/doctype/timesheet/timesheet.js b/erpnext/projects/doctype/timesheet/timesheet.js
index 2160fa96f5..c4f92f3b63 100644
--- a/erpnext/projects/doctype/timesheet/timesheet.js
+++ b/erpnext/projects/doctype/timesheet/timesheet.js
@@ -156,9 +156,12 @@ var calculate_time_and_amount = function(frm) {
 	for(var i=0; i<tl.length; i++) {
 		if (tl[i].hours) {
 			total_working_hr += tl[i].hours;
-			total_billing_hr += tl[i].billing_hours;
 			total_billing_amount += tl[i].billing_amount;
 			total_costing_amount += tl[i].costing_amount;
+
+			if(tl[i].billable){
+				total_billing_hr += tl[i].billing_hours;
+			}
 		}
 	}
 
diff --git a/erpnext/projects/doctype/timesheet/timesheet.py b/erpnext/projects/doctype/timesheet/timesheet.py
index 867603b0a9..df87ed1bb7 100644
--- a/erpnext/projects/doctype/timesheet/timesheet.py
+++ b/erpnext/projects/doctype/timesheet/timesheet.py
@@ -246,12 +246,12 @@ class Timesheet(Document):
 
 	def update_cost(self):
 		for data in self.time_logs:
-			if data.activity_type and (not data.billing_amount or not data.costing_amount):
+			if data.activity_type and data.billable:
 				rate = get_activity_cost(self.employee, data.activity_type)
 				hours =  data.billing_hours or 0
 				if rate:
-					data.billing_rate = flt(rate.get('billing_rate'))
-					data.costing_rate = flt(rate.get('costing_rate'))
+					data.billing_rate = flt(rate.get('billing_rate')) if flt(data.billing_rate) == 0 else data.billing_rate
+					data.costing_rate = flt(rate.get('costing_rate')) if flt(data.costing_rate) == 0 else data.costing_rate
 					data.billing_amount = data.billing_rate * hours
 					data.costing_amount = data.costing_rate * hours
 
@@ -262,7 +262,7 @@ def get_projectwise_timesheet_data(project, parent=None):
 		cond = "and parent = %(parent)s"
 
 	return frappe.db.sql("""select name, parent, billing_hours, billing_amount as billing_amt 
-			from `tabTimesheet Detail` where docstatus=1 and project = %(project)s {0}
+			from `tabTimesheet Detail` where docstatus=1 and project = %(project)s {0} and billable = 1
 			and sales_invoice is null""".format(cond), {'project': project, 'parent': parent}, as_dict=1)
 
 @frappe.whitelist()