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Do small law firms have paralegal managers?
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Yes, that's pretty common. Even though your time is billable, the firm factors in overhead, benefits (if any), and profit margins. Solo attorneys especially tend to see it as covering their costs rather than splitting the revenue. Frustrating, I know,
It is incredibly common for the rate you are billed at to be 3 to 6 times more than the hourly rate you are paid as a paralegal.
A lot of times your salary will be a percentage of what you are expected to bill, same with the attorney, the rest is used to keep the lights on, order supplies, malpractice insurance, etc. Also keep in mind that while paralegal work is very important you’re not assuming any of the liability that the attorney is, and you are also not expected to bring in any business, or at least you shouldn’t be.