Payroll is based on employee time and attendance. It seems like a simple truth, but in reality managing time and attendance records for payroll is often of the most time-consuming and error prone tasks for many companies.
Manual or paper-based systems that function separately from payroll are often inaccurate and rife with errors. It’s easy to see why – employees who are busy completing work tasks often forget to fill out the timesheets as they do so, and when they get to them later on, they can’t recall exactly what they did, when. When, exactly, did they arrive? How long was that break? When did they go home? Not having specific information on all of these times can lead to employees being over or underpaid, and to complaints and employee morale problems.
Time clocks aren’t much better at accuracy. Employees forget to punch in or out, and it can be excessively time consuming to always have to do so, as well as having a negative impact on morale. In addition, vacation days, sick time and holidays may be left unaccounted for with these systems.
So what’s the solution?
An automated system that integrates time and attendance tracking with payroll is the ideal way to ensure accurate reporting and minimize errors. Electronic time clocks and software can collect information quickly and easily without human input needed; the data analysis these systems provide can then be reviewed in real time for more efficient, accurate payroll processing. Systems range from simple to sophisticated – how sophisticated a system is may depend on your company’s security or other needs. Everything from using computer sign ons to biometric iris scans are available to automate the process.
Whatever system you choose, you’ll see immediate benefits by eliminating paper reporting. Time saved in filling out sheets, not to mention printing and duplicate data entry costs, is just the beginning. With an automated system, supervisors can focus on more mission critical efforts and not policing attendance. Add in the bonus in making reporting information for IRS needs, benefits and employee reviews instantly easier, and you can see how integrating time and attendance into payroll can free up management to focus on the issues that truly matter.
An automated time and attendance system can be important in one other way as well – providing information in case of a charge of labor violations. If your company ever faces a charge of wage and hour noncompliance, or an audit for potential violations, having an accurate, historic record can make the difference for reviewers.
If you’re considering an automated, integrated system, a payroll services company like Payce is a great place to start your research – 443-279-9000 and ask for Brent Sappington or email Brent @ firstname.lastname@example.org.