Maintaining an accurate record of employee worked hours isn’t just an optional thing to do. As a business owner, it's critical that you keep track not only of hours worked, but also of holidays, sick days, bereavement leave, and other absences. There are several simple ways to do this, which we'll cover below.
Time clocks are one of the most efficient ways to track employee hours. Employees "clock in" at the start of their scheduled shifts and "clock out" when their shift is over. Time clocks must be properly managed in order to prevent inaccuracies. There is also a risk of fraud when using this timekeeping method, as employees can clock in and out for other employees. When used correctly, however, time clocks are a great way to ensure you're only paying employees for the time they’ve worked.
Time cards are the simplest way to track employee hours, as they’re usually filled out by hand. It's for this reason, however, that time cards carry a huge risk for error and fraud. Since the information is entered manually, you'll need to be diligent about keeping close watch over your employees' work time when using this tracking method. Your company will need to have a good system in place for managing time cards in order for this method to work.
Card Swipe System
With a card swipe system, employees simply use their ID card or badge to record hours. Information from the card or badge reader is transferred to a computer that records the number of hours worked. This method is an easy, accurate way of tracking employee hours, however, the right process will need to be adjusted so employees can’t swipe in for other workers.
There are many smartphone apps available to help you accurately track employee hours. Some even have GPS tracking features so that you can track an employee’s whereabouts when working out of the office. Most employees have a smartphone, so using this method of time tracking can be very convenient for both employer and employee.
Hand scanners work by recording an employee's hand shape. To "clock in" to work, the employee simply places his or her hand in the scanner. Some scanners also require the user to enter a unique code that is assigned only to them. Hand scanners are a convenient alternative to time cards and badges, which can easily be misplaced.