workforce-management | 8 mins read

5 Reasons to Switch to an Automated Employee Time Clock Calculator

5 reasons to switch to an automated employee time clock calculator 1646051031 2757
Archita Wagle

By Archita Wagle

What is an Employee Time Clock Calculator?

Every organization has to maintain a meticulous record of the number of hours an employee has worked (including overtime), and the pay earned for those hours. Both, employee hours and pay have to adhere to the guidelines set by the United States Department of Labour. Any organization that unlawfully overworks its employees or denies them the right remuneration will invite strict penalties.

The easiest and most accurate way for a business to keep track of its staff's work hours is by adopting an employee time clock. A time clock is a device used by employees to clock in and out of work. A business can opt for one of four types of time clocks- punch cards, digital time clocks, biometric time clocks or time clock software.

A time clock calculator, also called a time card calculator, is a time management tool that keeps track of total hours worked, and converts those work hours into salaries. It calculates the hours put in by an employee over a given periodbe it a weekly, bi weekly or monthly schedule, computes their hourly rate of wages, takes into account tax deductions, and sums up their gross pay, net pay and other earnings to total up their salaries.

Why is an Employee Time Clock Important?

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An employee time clock has several advantages.

  • A time clock provides detailed information about the time an employee spends on various tasks. It tracks employee absenteeism and late clock-ins. This can help an employee manage their time better, and assist an employer in determining overhead costs.
  • A time clock helps a business save time and money by automating data collection and calculation, and reducing human error. Inaccurate calculations are shown to cost businesses 7% of total payroll costs. Time clocks reduce this margin of error.
  • A time clock can also help businesses hire remote workers, as their daily tasks and total time worked can be calculated via a cloud-based time calculator.
  • A time clock provides real time information about productivity levels, helping a business make hiring and scheduling decisions according to actual needs.

Online employee scheduling software that makes shift planning effortless.
Try it free for 14 days.

Disadvantages of Physical Time Cards or Timesheets

Several businesses still prefer time cards or time sheets over modern time tracking software like Zip Clock. Now, even though a time card can help a business keep a record of the start time, end time and the time an employee spends on a task, there are many reasons why this manual timesheet calculator is truly a thing of the past.

1. Buddy punching- A buddy punch occurs when another employee signs in on behalf of an absent or late employee. A buddy punch is an example of time theft. It prevents an employer from knowing if an employee is actually present or not.
2. Low morale- Tracking employee time can make them feel like they're being monitored 24x7. This can result in anxiety and low morale. Moreover, if an employee underperforms for a period of time due to health or personal reasons, tracking tasks can increase their anxiety levels even further.
3. Intangible tasks- A time card has no way of tracking intangible tasks like attending meetings or training workshops. If team members attend an hour-long meeting, this time tracking tool won't be able to account for it as an important job-related task.
4. Human error- Physical time cards put the onus on employees to be diligent about keeping tabs on hours worked. If an employee forgets to swipe their card or log their start time, end time or break time, their time isn't recorded unless they follow up with appropriate action.

6 Benefits of Time Clock Software

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A superior time clock software Zip Clock can track several work tasks without hindering an employee's work flow. Listed below are its other benefits-

1. Insights- A time clock can offer qualitative insights on the manner in which employees spend time on the job, and the amount of time devoted to each task or project. It can also show which jobs are prioritized over others.
2. Accountability- A clock calculator help employees develop a deeper understanding of their performance, and enables them to be better focused as their work time is closely monitored.
3. Efficiency- Time tracking software helps both, employers and employees gauge the importance of a task, understand whether it was worth the time spent on it, and evaluate its outcome.
4. Allocating resources- The time spent on a job will help you keep close track of the resources needed to complete it. You'll also know if there's a need to reallocate resources.
5. Budgeting- Tracking apps help make sure that project tasks are progressing in a timely manner. Efficient project management will help keep a business's budget in check.
6. Compliance with law- A time clock helps a business keep accurate track of the hours and minutes worked by an employee, the overtime hours they have put in, the lunch breaks they have taken, and their pay rate as per the local and federal law. This helps a business meet local and federal rules on labor and avoid penalties.

5 Top Time Clock Software Solutions for Restaurants

If you are looking for a time clock calculator to track your employees' working hours, there several free online time calculators available. But if you want the job done efficiently and accurately, it's better to opt for paid products for the superior services they provide. Here's a list of the best time clock software solutions available in the market-

Zip Clock-
This timekeeping app gives employees the flexibility of recording their work hours from any device. It additionally sends operators notifications to make sure employees are compliant with local labor laws, ensuring they take scheduled breaks and don't work overtime without authorization. Zip Clock also sends employees alerts, reminding them when to clock out and take their breaks. This software solution is available on Hubworks, an online app store dedicated entirely to restaurant management.

This time clock software can handle employee scheduling, absence management, productivity tracking, project costing and analytics. It can also be integrated with biometric devices to prevent buddy punching and proxy marking. Managers can track work allocated to employees and their progress in real time with the SecurTime app. It helps managers control labor costs and make decisions in real time.

This time clock software combines time tracking with in-depth reports and payment processing. It tracks project costs based on hours, bill and pay rates and lets you set budget limits and receive notifications as you approach targets. The app helps managers create time reports so that they can track how employees spend their work hours. They can then use the information to streamline workflow and meet projects deadlines. The app uses frequency of keyboard and mouse activity to measure activity levels.

This time tracking and employee monitoring software is suitable for small to large businesses with remote teams. The software's core features include keystroke monitoring, stealth mode tracking and more. The app monitors websites used by remote employees and the time spent on them to discourage distractions. It also allows manual punches for missed attendance on approval from reporting managers.

This time tracking software can generate visual reports that show how much time is spent on each project. Employees can use the app to track their work hours or key it in manually. The app can also be used as a personal time tracker, creating reminders to help you and your team keep track of your workday. It helps update budgets, to keep projects on track with time taken to complete them.

Online employee scheduling software that makes shift planning effortless.
Try it free for 14 days.

Price Range of Time Clock Software

A good time clock software must be able to track Employee Time efficiently, gather accurate data on performance, and ensure that all gathered data is secure. The price of a time clock depends not just on how well it can perform these fundamental functions, but also on the number of employees it can track, number of job sites, and additional employee management features, among others.

A competent time clock calculating software will cost a business anywhere between $240 $2,300 for a monthly subscription. The price point is determined by the time tracking services provided, administrative controls, and equipment to be integrated with the software.

A company with 25 or fewer employees can opt for basic time clocks that cost around $500 to $750. Businesses with 150 or more employees need complex features like employee scheduling and payroll integration, which can cost the operation between $2,000 to $4,000.

Time Clock Software FAQs

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Q. How to convince employees to use a time clock app?
A. Here are some of the ways to do this-

  • Explain the benefits of time tracking.
  • Set clear guidelines on the need to clock in and out and the consequences of not doing so.
  • Organize a training session to let your employees learn how to use the time clock app, demonstrating its uses and simplicity.
  • Send reminders if an employee has forgotten to punch in or out, so that their pay is not deducted.
  • Follow up and provide information on how time tracking is worth practicing.

Q. Are time clock apps secure?
A. Yes. Most businesses that offer time tracking services store employee data securely on the cloud and take precautions so that it is safe from security breaches and malware attacks. Some companies also let you store the data on your own servers so that you feel secure and in control. These apps don't interfere with system settings or slow it down.

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