Any business, especially startups, requires managing finances accurately and efficiently for sustainable growth. Benjamin Franklin once said that time is money and one of the most effective ways to save money in an organization is to save time.
Using a time clock app or a time-tracking app can lead to significant time savings and cost reductions. Although there is an initial investment required to set up this system, it is more advantageous to invest upfront rather than incurring weekly expenses for payrolls. It is the easiest method to track requests and numbers and absentees.
Regardless of the size and age of your business, these modern employee time clocks hold great promise. By leveraging the comprehensive features of these time clock apps, businesses can effectively reduce unnecessary costs and enhance their management system’s productivity.
Furthermore, by understanding the benefits of utilizing a clock in clock out app, startup owners can make informed decisions to enhance productivity and save money. So, let’s start without any further ado to learn actually how to use a clock time to save money as well as time!
1. Choose the Right Time Clock
To harness the power of a time clock system for your business, selecting the right one is the first step. Although this selection depends on your budget and specific working requirements, there are multiple systems available today. To optimize time tracking, consider using online employee time clock solutions.
These tools provide convenience, flexibility, and advanced features tailored to the needs of startup owners with hourly-based workers. Examples of available digital solutions include free online time cards, free time clock apps, and free time card apps. With other bookkeeping solutions, the system must be
- User friendly
- Compatible with Your business needs
- Mobile Accessible and technically capable for your computer software
- Match your payroll needs and budget friendly
- And, durability which is the most important feature to consider when choosing the right clock system.
You must ensure that your system withstands the harshness of your work environment.
2. Use Attendance Tracking and Time Automation
Proper and efficient payroll management is crucial for all businesses irrespective of size.
Manual time tracking clocks result in inaccurate calculations, are more prone to errors and make costly payroll system mistakes leading to potential overpayment. On the other hand, implementing a time-tracking system reduces the chance of human errors by eliminating the need to enter data manually.
These systems can track attendance, work done per hour, break periods, and overtime hours. As a result, businesses are able to prevent wage disputes and avoid overpayments due to incorrect attendance time entries. Moreover, it also lowers the burden on the administration assigned to manual payroll processing.
3. Free Time Clock Software Makes Payrolls Less Tedious
As a company owner, you can’t devote your whole day to reviewing the staff timesheets. According to the American Payroll Association, it takes 7 minutes to process the timesheet of a single employee and this time increases many times if you have a large team of workers. A business can save up this time by concentrating on other chores. Also, there is more chance of human-based error.
Using time-tracking software, you can save payroll automation expenses as much as 80% according to APA. Moreover, it will provide your staff with a sense of surety and contentment that their payments are always accurate as they say, a contented staff is a productive workforce.
4. To Improve Productivity and Accountability of Employees
In addition to managing payments, a time clock also helps to improve the productivity of employees and encourage punctuality. Employees automatically avoid tardiness, early departures, and late departures thus adhering to the schedule and timings, when they know their working time hours are being recorded accurately.
This helps to promote discipline and punctuality in the workplace. Consequently, it helps the organization to save money by minimizing non-productive timing and extra labor by fostering a culture of accountability and transparency.
5. Reduce Buddy Punching and Time Theft
An effective time clock system possesses advanced features like unique PINS and biometric identifications, IP validations, location tracking via GPS, and Wifi configuration tracking. These tools in the time clock system help to eliminate the chance of fraudulent practices such as buddy punching and time theft.
Buddy punching or time theft refers to an employee clocking in and out on behalf of their colleagues, which has a significant impact on labor costs. The key features of a time clock system ensure that only actual working hours are recorded when the person is physically present in the workplace. This helps businesses to save money by paying for the actual time an employee spends on the job rather than inaccurate hours and inflation.
6. Optimizing Resources Allocation
A time clock system provides valuable insights into the amount of time an employee dedicates to their tasks throughout the day. By closely analyzing this data, start-ups can keenly identify the inefficiencies and areas where tasks can be streamlined and where excessive time is spent thereby reducing labor costs.
Furthermore, if you find that a specific project is taking longer than initially estimated, you can revise the project plan and adjust the budget accordingly. By doing so, you can lead to substantial cost savings by avoiding overstaffing and using only needed resources.
7. Minimize Health Cost
Outdated attendance systems impose an unnecessary burden on payroll workers, leading to stress and health issues. The American Psychological Association estimates that the USA businesses $300 billion a year in absenteeism, reduced productivity, and turnover. Work-related stress, which can lead to longer work incapacity compared to other illnesses or injuries, also impacts medical and insurance premiums.
It was seen that payroll workers were sometimes brought to tears at the end of each month as they struggled to finish their job on time, sometimes working weekends and losing the flexibility they needed for family situations. When their companies switched to a biometric system, the company’s HR department completed its work on time without worrying about any mistakes that cost employees time.
“Now the door is open and people can actually talk to me at the end of every month,” the employees said of the new system. It’s a win for employee morale, company efficiency, and the bottom line. In many ways, tracking systems have allowed the convenience and efficiency of technology to transform the way we communicate and do business in the workplace. Time and attendance tracking systems are one of the last bastions of the old guard, with financial implications for small businesses.
8. Incur the Stationary Cost
Transitioning the paper-based timekeeping method to a digital time clock system is one of the primary ways to save on stationary costs including those in punch cards, physical timesheets, and manual collections. Digital time clock systems automatically reduce stationery expenses by eliminating the need for paper sheets.
9. Reduces the traveling Cost
The best use of your workers’ time is not to need them to come into the office each week to fill in conventional timesheets. Because sending a timesheet to payroll through email may be time-consuming.
Technology advancements have made it possible for clock software to be often cloud-based and accessible via an app. These features allow employees to submit their timesheets from either the workplace or at home, which is advantageous if you’re managing remote workers, ultimately saving their traveling fare.
Final Thoughts
In today’s business landscape, interlinking between time and people is the most crucial asset. So, enterprises are spending significant time, and financial resources on efforts to nurture this link. Moreover, the future is always on us and an employee-driven change in the established paradigms is underway. For this reason, organizations need a seamless time-tracking system in this complex era of hybrid work.
The time clock app is an excellent step in this direction. It offers tangible and speedy benefits that help to ease the automation concerns if any. However, this AI-powered time-tracking system is still not being adopted by many industries. Yet its ability to transform and engage workforces in high-performance teams is highly promising.
Without an employee time tracker, you need to spend more money which can prove devastating for your business. So, if you invest in a revolutionary system, it would be a great step. Yes, there are a lot of reasons why one should adopt a time clock app to revolutionize his business management.
