The biggest concern businesses have with tracking overtime is getting it right. It is essential from a financial standpoint to have accurate records and an employee safety and morale standpoint. One of the best ways to keep accurate records of regular and overtime hours worked is with a time clock app.
Several different hurdles come up when tracking overtime. There are unique advantages to overcoming these hurdles that a time and attendance app provides when appropriately used.
Logging Hours That Are Unscheduled
Many businesses don’t schedule their employees’ overtime; it happens naturally over the course of a job. One way that a time clock app keeps track of these unscheduled hours is by logging the first activity done each day, such as when starting up a computer, and counting that as an employee’s official punch in. The app then logs hours as usual until the day’s last activity, which is then translated as punching out.
Not all apps are as sophisticated, but most of them track hours even if they are off schedule as long as the employee is punched in. This ensures that employees are credited for all the time they are working.
Ensuring Proper Payment Through a Time Clock App
The second biggest hurdle after tracking employee work hours is ensuring that payments are accurate. Most time clock apps allow businesses to track productivity by knowing what employees are doing when they are punched in.
This serves a two-fold purpose:
- It ensures that employees who are working legitimate overtime are paid accordingly down to the closest possible measure. This helps prevent employees from being shortchanged for overtime work because it was unscheduled or did not appear to be relevant to the job. Employees can become disgruntled by improper overtime pay, and this can lower morale and productivity.
- By tracking employee activity, businesses can supervise employees more robustly and ensure they are productive during regular operating hours. This prevents unnecessary overtime by workers who are unproductive during normal business hours. Many businesses suffer a loss of productivity during normal operations, which leads to large amounts of employee overtime.
Thanks to a time clock app, accurate timekeeping can also help resolve disputes over hours worked versus hours paid from a logistical standpoint. More traditional timekeeping would allow employees to claim overtime without receipt of work done. This will eventually lead to productivity issues that may negatively impact the business.
On the opposite side of this, employers may expect overtime from employees without due recompense being paid to the employees who have worked. This will lead to disgruntled employees and lower morale. A time keeper app holds both parties accountable so that each side has verification of hours worked and productivity in the event of a dispute.
Keeping proper overtime with an online timecard system benefits both employees and employers financially. Employees get paid down to the minute for overtime they work, meaning that they are not shortchanged for minutes or quarters of an hour that can add up to significant sums of money. This also aids businesses as they don’t have to worry about paying an employee more than they deserve for the hours they worked and the work they accomplished.
Tracking overtime also allows employers to adjust schedules if too much overtime is being clocked. Significant amounts of overtime can signal a loss of productivity during the normal workday or a shortage in appropriate staffing in a particular area, both of which can cost a business money.
If you’re a business struggling with accurately tracking overtime, then a time clock app can help. For the most flexibility and accuracy, online time clock software is the best option. These systems are accessible from any internet-connected device and come equipped with overtime alerts that will allow you to manage overtime better.