Small business owners know better than anyone that the saying money is time, and time is money, rings true. When it comes to employee time tracking, inaccuracies can cost organizations thousands of dollars. Many small businesses turn to employee time clocks to help them manage their team’s work hours and protect against these costly mistakes.
But what is time clock software, and how can it help your small business?
What is a Time Clock System?
A time clock system, also known as a time clock machine or punch clock, is a form of technology that tracks employees’ work hours. Businesses use this system to accurately track the hours worked by each member of staff as they use a pin number and biometrics to punch in and out of work every shift.
This timekeeping system helps businesses reliably and efficiently track the number of hours worked by each employee in a given period. The data is collected and used to process payroll and provide proper remuneration of employees for their hours worked within a company.
Time clock software can be easily implemented on a computer or tablet with an internet connection.
Should My Business Use Time Clock Software?
Time clock software is an excellent alternative to other time tracking solutions, as it streamlines the process and makes it easy for both employees and managers to use. Compared to manual time tracking, using technology can help save time, money, and efforts as it automatically tracks, calculates, and records hours worked by each staff member.
If your employees have trouble filling out and handing in their timesheets each week, then using time clocks in the workplace could be a better solution. Time clock systems for small businesses automatically fill in employee timesheets tracking work hours each shift and pay period without the need for the employee to submit these sheets themselves.
Since the software automatically begins tracking an employee’s work hours as soon as they clock in for their shift and ends when they clock out, staff won’t have to spend time filling in timesheets and handing them off to management for review. The software fills in the timesheets with corresponding data and sends them directly to the manager and administrative user profiles online.
Must-Have Features of a Digital Time Clock
Like shopping around for the best time tracking apps, it’s essential to look at each product’s various available features before deciding on one to use for your small business. Therefore, when shopping for your small business’s time punch clock, only consider products with all of these features:
- GPS capabilities: A decent time clock will offer businesses the ability to tag multiple system locations using GPS. By implementing GPS functionality, managers can use multiple systems in various locations as the software determine where the timesheets and data are coming from for full transparency and accuracy.
- Third-party app integration: Businesses tend to use multiple applications and software to help them with their internal processes and procedures. For that reason, finding a time clock app that offers integration with third-party applications makes it easier for businesses to cover all their needs without hassle.
- Reporting tools and functionality: Time clock software should provide reports to users for greater business insight. Such reporting functions can help businesses track metrics and forecast their future scheduling and job costing needs.
Small Business Benefits of Using an Employee Time Clock System
Businesses small and large opt to use time clocks in the workplace as time tracking solves many issues regarding internal processes and procedures. Such time clock solutions and time and attendance systems can make life easier for all involved in the business by streamlining the employee time tracking process.
With that in mind, here are the many benefits of using digital time clocks for small businesses.
Employees can only clock themselves in
Thanks to GPS tracking – staff members can no longer clock their coworkers in if they are running late or miss a shift. Employees can only clock themselves in and out as their punch code profile is linked to their GPS location. This is especially true for employees that are working on location.
Previously, punch systems did not have the technology to safeguard against buddy punching. Buddy punching refers to instances when an employee punches other coworkers in when they are not there. As a result of buddy punching, small businesses were spending more money on payroll for inaccurate time tracking.
Thanks to the latest in technology, current time clock systems for small businesses offer protection again inaccurate staff time punching. By implementing punch clocks in your small business, you can stop buddy punching, and time theft and employee fraud from happening while saving your company more money in the long run.
Easy to use
Employees can quickly learn how to use these time clock solutions without much onboarding or training. Since the software can be downloaded and accessed through any computer or tablet with an internet connection, there are no new systems or machinery people will have to deal with.
The software also offers an intuitive interface that allows business owners and managers to navigate the platform easily, calculating work hours and scheduling employed without hassle.
Less time spent on timesheet checking and payroll
Thanks to this technology, business owners and managers can decrease time spent on collecting and checking timesheets and processing payroll. A time and attendance system automatically uploads the needed timesheet information to the business’s user accounts, lowering chances of mistakes and cutting down on the time and energy needed on the payroll system.
With the use of time and attendance software, your business can claim back this time and energy previously spent on paper timecards and allocate efforts into other vital parts of the company. It also makes payroll audits easier to handle when required, as all the information is stored at your fingertips.
Collects accurate information on time and attendance
Computerized time clock software won’t cause miscalculations in data like manual time tracking and paper timecards can. Mistakes made by human error can cost a small business dearly, as timesheet rounding and over or under calculating hours results in higher payroll costs and decreased productivity.
The digital time clock automatically tracks time card data when an employee’s work hours the instant they punch in, all the way until the end of the shift when they punch out. As a result, managers won’t have to worry about the inaccurate data collection of employee attendance and labour costs.
By selecting a time clock app that can integrate with third-party apps, as a small business owner, you can take advantage of this software alongside your other implemented processes and applications. An employee timeclock that syncs with various other software can streamline multiple functions into one while simplifying the integration process overall.
Tracking and reporting for business insight
One of the biggest advantages of using time clocks in the workplace is its ability to provide detailed reports surrounding job costing and employee scheduling. Use project reporting to generate payroll summary reports and job costing reports to improve your business’s resource allocation and gain business insights.
You can even export time tracking and payroll data to other team members and platforms to improve internal processes.
If you’re looking to gain all these benefits and more, consider implementing time tracking software and time clocks like the QuickBooks Time Kiosk in your business. With seamless integration of the brand’s payroll software, it can make your life easier. Join the millions of other businesses that have improved their time management by signing up for a free trial today.