Benefits of Time & Attendance
View a short video on the cost benefits of our ATA system
Time & Pay’s Automated Time and Attendance services (ATA) and systems can help your business in many areas. In order to quantify the benefits of an ATA system, you first have to know what to look for. There is no doubt that an ATA system will help ensure compliance and save your business money. An ATA will get rid of a great deal of manual labor in calculating hours worked while accurately tracking and defining your employees’ time at work. Here are other benefits of implementing Time & Pay’s ATA solution in greater detail.
Implementation of Accurate and Objective Timekeeping
One of the major problems of any timekeeping method is taking care of the exceptions and filling in the missing times when employees “forget” to clock in or out. A good ATA system will give you the ability to easily monitor those employees who “forget” on a regular basis, accurately fill in the blanks in a timely manner, and manage the problem quickly and objectively.
Improved Data Quality
Key punching manual timesheets into a computer does not need to be necessary in processing payroll. Errors will most always occur when keying data into a computer from a hand-written document. These errors can cost you in many direct and indirect ways:
- Incorrect pay. How many employees complain if they are overpaid? If even a small number of employees keep their over-payments, it is costing your organization plenty. And when employees get underpaid and complain, issuing a new paycheck or adjustment is costly.
- Without accurate information, you lose the ability to make informed decisions. Employee pay is one of, if not the biggest, controllable expense in most organizations. You should have accurate information about hours worked, departments worked in, and jobs worked on, etc. to help you make good decisions for your business.
Labor Regulation Compliance
Quality ATA systems like the one Time & Pay offers eliminate the error subjectivity that can be involved in manually tracking time and manually adding up hours. We set up our ATA systems so that employers can automatically comply with FLSA regulations and are also able to compile the data and provide reports to verify compliance.
Starting June 1, 2013, the newly implemented Affordable Care Act requires most businesses to report to the IRS verifiable data confirming Full Time Equivalent employees (FTE’s) for a certain time period . Our ATA systems are able to generate the reports employers need to verify FTE’s.
Timekeeping software can reduce the cost associated with creating and distributing paper timesheets or timecards. Cost savings result from:
- Direct savings from reduced paper, printing, and distribution costs
- Indirect savings from time spent handling paper timesheets.
- Direct Savings from elimination of maintenance costs on manual time clocks.
A big expense with a manual timekeeping system is that of transferring time sheets/time cards from one person to another. The employee needs to get blank timesheets from the HR department. They fill out the time sheet and walk it over to their manager. The manager signs the time sheets and walks them to the payroll department. Payroll gives the time sheet to HR to make sure PTO correctly accounts for it. A very conservative estimate of the direct time spent on simply working on manual time cards and transferring the paper back and forth, etc. is 2-3 minutes per employee each pay period.
Time & Pay’s ATA system eliminates all that work and more.
Fewer Pay Check Corrections
Issuing new paychecks or manually calculating adjustments to pay is a very time consuming and frustrating process. Most noteworthy, Time & Pay’s system will minimize or eliminate this problem by:
- Ensuring accurate data reaches payroll by checking all pay policies at the point of entry and approval.
- Providing an online method for employees and managers to verify times and request corrections.
- Allow easy access to prior periods thus providing the ability to easily calculate required adjustments
Elimination of Duplicate Data Entry
You can easily reduce costs if you key your time and attendance into one or more systems. Check the following systems to see if any time and attendance data is being keyed into a:
- Time tracking system.
- Payroll system.
- HR system.
- Job Costing/Work Order system.
It is easy to understand how a good ATA system will eliminate this duplication of effort.
Electronic Notification of Time & Attendance Tasks
Payroll is performed on a regular basis. This means that employees and/or managers must review and approve time sheets on a regular basis. Without an automated system that allows for easy access, this can be a burdensome task. When the parties involved fail to do so by the payroll cut-off time, a series of even more time consuming events occurs in any organization:
- Payroll has to figure out which managers have not submitted approved time sheets.
- The payroll dept. contacts the manager(s) and/or employees and requests their time sheets.
- The managers will track down the employees and request their delinquent time sheets.
- If the manager is not available, they attempt to find an alternate who can approve the time sheets.
A good ATA system like the one Time & Pay provides will significantly facilitate verification and approval of time sheets. This will eliminate inefficient work while also freeing managers to work on other tasks.
Fewer Inquiries to the HR Department
A good ATA system will provide useful information, traditionally requested from the HR or payroll departments, to those individuals with employee self-service. By making this information available on-line, your HR and payroll departments will spend less time answering employee inquiries. A good ATA system will make the following information readily available:
- Hours worked.
- PTO hours paid for.
- Balance of PTO available.
- History of dates when PTO was taken.
Complete, effective design of the ATA system
You probably know the usual packaging of the systems if you research automated timekeeping solutions for any amount of time. Of course you have to start with the standard package. Perhaps if you have over 50 or 100 employees, you need to add an accommodating module. If you want to retrieve attendance history, you need to add another module. If you want to have multi-access by multiple users, add another module. Track PTO, add another module. Job cost, add another module. And so on! By the time you get to the system that will really meet your needs, you have significantly added to the cost, complexity and maintenance of the ATA system.
A good ATA system should be designed and built to do what you need it do, when you need it to do it, and without any additional updates or modules. When you log into Time & Pay’s system, you log into a top of the line, full feature system. There is no need for additional modules, no hidden costs, no additional charges for added features.
Flexibility in the use of the ATA system
Most noteworthy, a number of people play key roles managing the data relating to employee hours. How difficult is it going to be to create and grant access to the ATA system for those key players? Allowing data access to many people is the beauty of a web-based system. There is no network software to administer or maintain. If you have multiple locations, or if you add a new location, there are no wide area network requirements. As soon as that location has access to the web, adding the new location is done. As a result, once you get through data security, logging into the system is quick and easy. You can grant access starting with administrators, who have access to all the data, all the way down to employee “self-service”, which allows employees access to only their information.
Make sure you don’t need to get your IT department involved every time you want to update your system, add a location or a new user. The system you are looking at needs to be simple to use and always be the latest version available. It also needs to be easy to add users to, easily expandable to multiple locations and flexible enough to meet the needs of all who manage time and attendance. Keeping it simple will reduce the cost of operating and maintaining your ATA system.