Tracking the hours your employees work is a critical aspect of the payroll process. It can be challenging to track employee hours in addition to monitoring sick and vacation time and ensuring nonexempt employees do not work unexpected overtime.
There are several systems and processes you can implement to streamline how your company tracks hours. Here are three popular ways to keep track of employee hours.
1. Pencil and Paper
This is the oldest method of tracking hours, and it remains popular because it costs nothing to implement. Employees track their own hours and record them on paper, which payroll tabulates at the end of each pay period.
There are some drawbacks to this method, including:
- Employees can make errors when recording their own hours
- Supervisors may not be able to monitor time sheets closely
- Employees may forget to record their hours in time
- Penmanship can be an issue, and you may struggle to decipher what an employee has written down
2. Employee Badge Swipe-In
Automated systems for tracking hours eliminate many challenges of the pencil-and-paper method. With an employee badge swipe-in system, the employee scans their badge when they arrive at and leave work, including unpaid lunch breaks if applicable. They could also sign in using a fingerprint or retinal scan, depending on your system. Software automatically tracks this data for a more precise view of the number of hours worked.
A badge system is fast and easy for employees to use, but it can be expensive to implement. It also requires training for payroll personnel.
3. Online Tracking System
There are dozens of apps that can track employee hours. For example, every employee can scan in and out using only their phones. Often these apps have scheduling options, which can help workers track their schedules and show up on time. Some apps track time off, while others automatically clock someone in when they get to work.
With so many employee hour tracking apps to choose from, you may want to experiment to see which option works best for your workplace.
Tracking Salary Employee Hours
Salary employees usually do not need to track their hours to get paid. Many employers trust those making a salary to put in the right amount of time, usually 40 hours per week, to get the job done. But some employees may overestimate the amount of time they work. It can be helpful for salary employees to track their own hours so they do not feel overworked.
In this cases, an app may be the best option. It is simple, easy to use and effective. Plus, it does not need to integrate into your pay system, since salaried employees are exempt from overtime.
Do you need assistance with tracking employee hours and handling payroll? BCM Payroll Services, Inc. helps Pennsylvania and Maryland businesses with these services and more. Contact us online or call 717-264-7374 to discuss your options.