Time clock and payroll software are essential business tools for any organization. With them, employees can easily clock in and out of work, take breaks, and track time off. Using them, employers can create valuable management reports, eliminate the need for paper-based timesheets and streamline payroll.
The unfortunate reality is that nearly 38% of businesses in the United States still use paper timesheets or punch clocks. Paper timesheets are easy to misplace, destroy, or falsify, so switching to digital time clocks eliminates this concern. Using spreadsheets or punch card systems is also problematic, as there is always the chance for human error.
Fortunately, a good time clock can help you overcome these issues. In this article, we’ll look at the four major reasons you should use a time clock and payroll software system for your business!
Automate Time Tracking & Payroll
Manual time entry requires collecting time cards from employees and re-entering them into the payroll solution. This process takes hours and is time-consuming for the entire organization. It may even take several days for a single employee to do it.
With a time clock and payroll software, you can eliminate the need for manual data entry. Instead, employees can enter their own time and attendance information directly into the software. Management can then send this information to your payroll software for processing. This prevents human error and also ensures that employees get paid on time.
The best time clock software will integrate with top payroll providers and eliminate the administrative hassles associated with payroll.
Analyze Labor Costs
The ability to track job costs can make your company more profitable and efficient. Using a time clock and payroll system to track labor hours can help you create reports that can be used to monitor employee productivity and determine your budget.
Many time clock solutions come with the ability to track:
- Time spent at a location
- Time spent on a job/task
- Time spent with a client
- Expense and mileage details
By identifying which employees spend more time on specific tasks, you can better understand what is taking up your employees’ precious time. And, because time is money, using time-tracking software can help you understand the value of your employee’s work. This way, you can make better decisions about spending your resources.
Reduce Managerial Oversight
Although micromanaging can be a valuable tool in some situations, in others, it can create a work environment that encourages lousy decision-making and hurts daily business operations. Micromanaging can also create feelings of distrust between management and employees, negatively impacting productivity.
Employees can have control and autonomy over their time tracking process by using employee timesheet software. It’s not just the benefits that make the work environment happier and safer, but the convenience of having a clear picture of employee hours without manager intervention is a great advantage.
Adhere to Labor Laws
Tracking employee hours and keeping meal and rest breaks records is crucial, but it’s nearly impossible to stay labor law compliant without using online timesheet software. This is where a timesheet management solution comes in. It allows you to remain compliant without relying on manual records and gives you all the features you need to enforce your policies and practices.
A good team time tracking app will be up-to-date with labor laws so that a law change won’t catch you off guard. It can keep track of PTO accrual rules, help you manage overtime costs, and even help you publish your schedule in advance. Many of these programs also offer employee self-help portals, which let your workers look over their timesheets, dispute incorrect information, or request time off.
The results are clear: the benefits of using the time clock and payroll software cannot be overemphasized. So what are you waiting for? Invest today!