5 Reasons You Need an Employee Time Clock for a Small Business
The old style of recording employee time sheet was using a sheet of paper and a pen. There was a time when employees were asked to record their entry, exit and break times. There was an old school of thought where punch card system was used. But the point is, are the employees recording their time accurately and honestly. Also the challenge is to turn this data into reports to use them for business decisions. Employee time clocks have resolved this issue for small businesses.
Five good reasons why a small business should have Employee time clocks are:
Time saving: The employee time tracking software automates thereby saving a lot of time for employees and for the HR department.
Human error: There are chances of under paying or over paying to an employee when time sheets are not calculated properly. There will be re-work which is a waste of time.
Save money: Time is money. If you save your business hours doing a productive job, you indirectly save a lot of money. You will also see a dollar reduction by using Time clock.
Reduce fraud: The manipulations involved in calculation of time either by employer or employee is eliminated.
Burden shift: The burden of calculation of the time sheet will be shifted from the employer to employer who will have to take the responsibility of entering individual data.
1. Employee Time Clocks Help You Save Time and Money
The employee time clock helps to save money and time by reduction of work. The data collection and calculations are automated. Elimination of human errors is possible with Time clocks. The employee fraudulent entries in time sheet calculation is eliminated. The employer need no keep running behind employees to fill the data. The responsibility shifts on the employee as he will be concerned with his salary. It is easy for management to identify issues relating to time in and time out calculations very soon.
2. Employee Time Clocks Are Fairer
The Time Clock & Employee Scheduling calculations are fairer than human calculations. The human element of bias, sympathy. The employee time clock does not have any feelings and it just follows the process. A sense of justice and responsibility also confers on the employees as they know they won’t be paid if they won’t work. They have to be physically present in the office to enter the data. The automated employee time clock can calculate better and also resolve issues like rounding off to the nearest while calculation. Rounding off to the nearest when done manually, has a human bias. But Time clock does it with precision and accuracy.
3. Employee Time Clocks Alert You to Attendance Issues
The time clock will generate reports, which will help you to identify timely issues in attendance before you take a business decision. When absenteeism increase at work place it impacts the employee morale. The employees who are present have to take the burden of additional work which creates resentment. When there is absenteeism, and there are ongoing projects, the productivity gets impacted. This will have impact on the cost factor too.
4. Employee Time Clocks Show You Real-Time Labor Costs
When you want to calculate the cost of labor, employee time clocks will give you accurate information. Hand written data can be inaccurate will have impact on cost of labor. You can have employee data to analyze the portion of labor which is costing more to the company. It is easy to identify the unproductive employees, and the employees who are doing over time. Labor tie and cost of labor can be compared with industry standards. The time clock helps to identify which employee time sheet is showing high despite of low production.
5. Employee Time Clocks Keep Payroll Accurate
The time clock will generate accurate payroll. This software takes into account the payroll policies while calculating the time sheet. The damage of costly errors is reduced with the help of this software. The time clock can integrate well into the existing payroll system, which reduces paper cost, processing cost, printing cost etc. These days the law has become more complex, it makes more sense to have an automated system than going through a tedious process.