Time Tracking Has the Potential to Save You Time and Money
Time is money and as a business owner, you're focused on saving both. A good way to assess how you're doing on these two fronts is to take a look at your company's time and attendance reporting.
Many businesses have automated work processes throughout their companies, but they may lag behind when it comes to electronically tracking employee time. As a result, inefficiencies and inaccuracies can flourish, some employees might take advantage of loopholes, and true labor costs may never really be pinpointed. Tracking time and attendance can take its toll on management as well. Supervisory efforts required to manually calculate time sheet data and prepare audits and reports can often be time taken from more strategic commitments.
"Simply eliminating the time it takes to process timecards by hand could save up to 64 hours per person within the payroll department."
PAYTECH magazineAmerican Payroll Association
The labor-intensive process of manual calculations can steal more than valuable time from your organization. Your business can lose money, too.
| Time Spent |
| Number of employees |
100 |
| Avg. hourly wage |
$10.00 |
| Avg. hours worked per payroll period |
80 |
| Pay periods per year |
26 |
| Avg. time to calculate and verify timecards manually |
7 min. |
| Avg. time employee misses per day (tardiness, etc.) |
6 min. |
| Avg. % payroll error from manual computations |
3% |
| Potential Savings from Automating |
| Monthly |
$7,619 |
| Annual |
$91,428 |
This example illustrates potential savings. It is not necessarily representative of actual time frames.
Employee and supervisor self-service features of automated time systems can minimize hours spent on time-off requests, staff scheduling, and payroll preparation.
Built-in workflow can mean that reports and communications are shared and payroll setup streamlined. Integrated systems can take streamlining one step further by automatically exchanging information with your payroll service. Detailed data collected from automated processing can help you:
- track productivity
- control costs
- improve processes
- determine future labor needs
- plan for growth
Time-collecting options like those from Paychex—whether by bar code badge, biometric reading, or PC entry—can help minimize lost-time instances and boost employee productivity. With automated time tracking, you can pay employees accurately and potentially impact your bottom line.
