The Benefits of Upgrading to Time Clock Software

Introduction

If you are still using pen and paper to log employees' time and attendance, then you really need to up your game if you are going to try and compete with your competitors in this technologically advancing world.

Continuing to use the outdated techniques of old-fashioned timekeeping is what causes your business to suffer. It's a huge waste of time and money. Failure to evolve your business practices, when it comes to technology, also has the potential to deplete your resources at an accelerated rate. This is especially apparent if you don't comply with the laws and regulations set by the state.

Granted that pen and paper technique is inexpensive and probably only costs around 60 cents in supplies, but manually logging is much more prone to error and inaccuracies.

Utilizing time tracking software is not only accurate, but it is secure, as it cannot be manipulated by various time theft techniques. According to an independent survey, every 1 out of 5 employees participates in some form of time theft which costs employers up to 7 percent of gross annual payroll.

That's why you need to make the switch to a reliable time clock to reduce time thefts and leaks in payrolls.

You will find all the areas your business will improve when making the shift from outdated time and attendance methods to a more precision-based approach with help from technology.

Here are the features and benefits you can look forward to once you upgrade your timekeeping practices.

Time Theft Prevention

Buddy punching is a technique that consists of clocking in on a friend's behalf, thereby costing the company money for fraudulent hours. Almost every company loses money from such time theft techniques according to a study done by the American Payroll Association. Using real-time clock software will help you eradicate these problems because you will be able to monitor your employees more effectively.

Another problem in the workspace is the number of employees who round their hours up when clocking in for work. With the proper technology, a time clock will not round up hours when recording work time.

So, with updated time and attendance practices, you end up with a precise time tracking which doesn't let your employees just round up their hours. This will save you a considerable amount of money and will also increase productivity in the workplace.

Lowers Rate of Error & Increases Transparency

According to IRS, one-third of employees make payroll errors which cost businesses huge amounts of money. To put things in perspective, a 20-employee company with an average salary of $50,000 may lose $80,000 annually due to payroll errors.

Using time and attendance software will help you reduce payroll errors and payroll cheating because it has incredibly low error rates than your usual outdated manual techniques like a pen and paper method.

If you are running a service-based business, you need to develop a certain amount of trust with your clients and prove to them that you are highly reliable. Service providers who charge by the hour can gain the trust of their clients by providing accurate data instead of handwritten estimates.

With a reliable real time clock calculator, you can invoice your clients directly for all the logged in hours with complete accuracy and minimal time-wasting.

Prompt Response to Unexpected Overtime

No one likes being micromanaged or being tightly monitored, but when it appears that certain employees have a history of racking up an excess of overtime hours, this often has to be done by management. With outdated techniques, you discover too late that your employee has accrued unauthorized overtime, which costs you both in terms of time and money.

Timekeeping software notifies management whenever an employee is about to approach overtime, as well as when any employee goes into overtime. Often, overtime hours occur as a result of an honest mistake or simple forgetfulness by losing track of time.

When you trust your employees and are open with them, your relationship with them will only get better. You will be happy knowing that you can trust your employees, and the employee will be happy knowing that they are trusted.

Geo Monitoring

Normally, when an employee is working off-site, he/she communicates with their supervisors through their cell phone by means of email or verbal communication, and your only state of assurance that your employees are actually on-site is by asking them, trusting that they are telling the truth.

What you don't know is that there is a far better alternative to this way of confirming location.

With a mobile-based time clock, you can add a location signature of where your employees are scheduled to be on a given day, all of which are logged in attendance records. This will let you know when your employees actually arrive at the site and start their work.

On-Time Payments

When you use manual timesheets, you must spend a significant amount of time in the back-of-house, adding up all of your employees' worked hours, correct/edit any mistakes, then finalize the timesheet.

This also produces the potential risk of your employees not getting paid on time due to a delay in finalizing the timesheets. This is unfavorable for both parties and understandably so.

This process comes at the expense of working longer hours, which also becomes a headache for management. By utilizing the software for time tracking management, you can prevent these delays in payroll. It can also make the process of making corrections in timesheet and approving any corrections much easier.