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DCAA Compliance Checklist

DCAA Compliance Checklist

Yes, government contract work can be lucrative and fascinating work. However, suppose you’re not up to date on Defense Contract Audit Agency (DCAA) compliance regulations. In that case, you can get lost very quickly. It’s critical to ensure you meet DCAA timekeeping requirements if you want to work with any federal government organization. The process of winning a government contract is exceptionally complicated. If you decide to place a bid, you must prepare to pass a pre-award audit by DCAA to be awarded the contract. Hour Timesheet offers time tracking software that is DCAA compliant, and always up to date.

What is DCAA compliance?

The DCAA was established in the 1960s to normalize the government’s contract auditing process. It was essentially designed to ensure the American taxpayer was getting good value for its money.

Initially, the DCAA was originally overseeing military and intelligence contracts for the U.S. Department of Defense. Later, its responsibilities widened, and it oversaw many other kinds of labor and service contracts that the federal government signs with commercial suppliers.

If and when you win a government contract, the DCAA’s time tracking rules will apply to everyone in your company. Regardless of the size of your organization, this can be a big task with many training implications. So, it’s worth your while to make time tracking as straightforward as possible and do your research ahead of time.

Generally, suppose the DCAA were ever to audit you. In that case, they’d check three main areas to see if you comply: how your accounts are established, the flow of transactions in your accounting systems, and the computations derived from them.

Ready to try out Hour Timesheet’s DCAA compliant timesheet software?

The Way your Accounts are Established

1. Chart of Accounts

But this is a general ledger account in which financial transactions are posted. You will need to separate which costs are direct, indirect, and unallowable. The DCAA will also examine your Chart of Accounts to ensure you’re adhering to the Generally Accepted Accounting Principles (GAAP). Having Accounts Payable, Prepaid Expenses, and Unearned Revenue will indicate that you’re accounting for cost and revenue on an accrual basis.

The Flow of Transaction

2. Trial Balance

Hour Timesheet will allow you to print a Trial Balance that summarizes your accounts’ debits and credit balances. The latter will reveal details such as the opening balance, transactions, transfers, and closing balance. The former will summarize the debits and credit balances on each of your accounts.

3. General Ledger Detail

The general ledger detail within the Hour Timesheet software will be able to provide you with the beginning balances for each account over a limited period.

Computations

The DCAA will verify the processes for allocating revenue and costs to projects. This in addition to the way you calculate indirect rates.

4. Loss & Profit by Job

An essential requirement highlighted in the pre-award survey is your accounting system’s ability to accumulate costs by project. A Profit and Loss by Job report that agrees with the standard Profit and Loss gives assurance that this can be done accurately.

5. Labor Distribution Report

Labor distribution is the process of allocating labor costs both direct and indirect to the total time recorded on timesheets. Hour Timesheet allows you to directly tie both direct and indirect hours to the accounts within your accounting system. DCAA needs to see that labor costs are equally distributed among customers, both government and commercial, that no one is favored or has received a cost subsidy.

6. Contract Backlog Report

This type of summary allows you to see the percentage of work completed and the remaining cost to complete each job in your backlog. This type of report indicates how much money is left on a contract, whether there could be a potential contract overrun and if there are corrective actions required as a result.

7. Direct Vs Indirect Labor Tracking

Contractors must consistently track both direct and indirect cost. A direct cost is any cost that is identifiable to one and only one cost objective. It normally is required or necessary for contract performance. The term cost objective is a regulatory term that can include a contract, a project, a task, a contract line item.

To be compliant, contractors must accumulate costs into indirect cost pools such as bid and proposal or an independent research and development project. Hour Timesheet allows a contractor to keep track of all accumulated costs related to hours worked. Indirect costs are all costs that are not identifiable or incurred for the benefit of one cost objective. Month/Period-Close Checklist

Hour Timesheet and DCAA Compliance

Achieving DCAA audit compliance takes effort, time, and specialist knowledge. Even if you understand all the relevant regulations, you’ll also need to arrange your Chart of Accounts and configure Hour Timesheet accordingly.

Contact us today for a free, no commitment, 30-day trial of our software. With our years of experience, we can help you avoid potential DCAA compliance issues before an audit begins.

Looking for QuickBooks and ADP Timesheet Integration?

3 Solutions Working Together

If you use ADP for payroll and do your invoicing in QuickBooks, you’re in luck. Hour Timesheet's 5-star reviewed software integrates with both solutions. HTS gives you everything you need to track time & attendance, create invoices, and do payroll in minutes without having to key in data.

Hour Timesheet includes a feature-rich time and attendance solution and mobile functionality that is geared for small businesses. Our SaaS solutions gives your organization affordable, easy-to-use web-based solutions.

Features and Benefits

  • Mobile App – iOS and Android
  • Manage Employee Leave – Manage leave balances, track leave request and more.
  • Manage Overtime – Compliance with DOL overtime regulations
  • Job Costing – Track and manage job cost
  • Quick Access - HTS is a SaaS solution so employee time cards are stored safely and to-the-second data is ready when you need it.
  • Quick Payroll Processing - With HTS and ADP and you eliminate the double-entry of data and ensure your staff are paid accurately and on time.
  • Eliminate Data Entry – The QuickBooks “one-click” sync imports employee and customer/job data into HTS for quick employee setup.

At Your Fingertips

The 25 years of experience you get by choosing Hour Timesheet means that you’ll have experienced, knowledgeable customer service at your fingertips. We’re always ready and eager to help you troubleshoot your way through any problem or figure out new ways we can help your business succeed!

  • Detailed Audit Trail
  • Daily Timesheet Reminders
  • Correction Timesheet Workflow
  • Required Reason for late or edited entries
  • Supervisor Approvals

Already have Hour Timesheets?

Contact us today to connect your account to ADP.

support@hourtimesheet.com

Want Help With Your Integration?

If you’d like help getting the ADP or QuickBooks Time Tracking integration setup, we’ve got you covered. We’ll be right there with you via phone, email or screen sharing session to make sure you are successful. Call us anytime at 832.942.9556.

SBIR & STTR Timetracking

The SBIR & STTR Programs and Hour Timesheet

Imagine securing the necessary funding so your research and development could finally become a product? It's possible thanks to the federal government programs SBIR and SBTTR and Hour Timesheet. Together SBIR and SBTTR are responsible for bringing some of the most innovative technological ideas to the international market. But without a DCAA compliant time tracking software such as Hour Timesheet, these companies would not have had the opportunity to present their ideas.

What are the SBIR and SBTTR?


The Small Business Innovation Research (SBIR) and Small Business Technology Transfer (SBTTR) programs are designed to encourage American-owned businesses to participate in federal research or research and development with the opportunity for commercialization. The SBIR and SBTTR have developed an awards-based program to explore their technological potential and then provide the necessary incentive to profit from its marketing. By including small businesses in the country's research and development industry, high-tech innovation will be inspired. The country will be swept up in an entrepreneurial spirit to meet specific research and development needs.

What does DCAA compliant mean?


‘DCAA’ is an acronym and stands for the "Defense Contract Audit Agency." It is the government agency responsible for the auditing of the department of defense and its contractors. It is also often brought in by other government agencies to provide financial and accounting services in the event they need help with their auditing procedures.

This is precisely what happens with the SBIR and STTR programs. When small businesses are awarded the money necessary to move from Phase I (Concept Development Level) to Phase II (Prototype level), the federal government requests an audit of all participating small businesses. They undergo a DCAA pre-award "survey," otherwise known as an audit.

In the first phase, they usually expect small businesses to have a basic time tracking system in place because Phase I awards are relatively small. In Phase II, there is more money at stake, approximately $1 million per award as opposed to $150,000 in Phase I. The contracting officers need to be confident you've accurately estimated your indirect rate and can accurately differentiate indirect from direct costs.

How is Hour Timesheet DCAA compliant?


1. Detailed audit trail


It's one thing to say that your timekeeping software is DCAA compliant, but it's certainly another to explain what that means. At Hour Timesheet, our audit trail lists a detailed activity log of every contractor's activity. It includes their username, IP address, time, and date stamp of all the entries made to the timesheet capturing both hours worked and paid-time-off entries.

2. Automated Daily Reminders


DCAA compliance states that employees must enter and record their time daily. Hour Timesheet will send employees who forget to do this an automatic daily reminder. It’s quick and easy to set up and can be a great tool for those who sometimes let their day “get away from themselves.”

3. Track Indirect (non-billable) Time


DCAA requirements are precise that all hours much be tracked in compliant timekeeping system. Hour Timesheet allows users to track both direct and indirect cost entries within the timesheet. Assign non-billable codes to users, including overhead, business development, and others.

4. Multiple Supervisor Signatures


According to regulations, two signatures are required on each timesheet. One from the employee and the second must come from the supervisor. Hour Timesheet allows for signatures at both of those levels.

5. Authorized Charges


Hour Timesheet includes the ability to limit employees only to see charge codes on which they are authorized to work. This feature is accessible to both full-time employees and timesheet information for contractors.

6. Reason Required


Employees who don't enter time daily will be prompted to enter a reason for the late entry. Hour Timesheet also requires the user to enter a reason for editing previously, inputted data on a timesheet.

Hour Timesheet, STTR & SBIR


The federally funded STTR & SBIR programs are an excellent way to fund ideas and inventions by small businesses here in the United States that may never have the opportunity to market otherwise. Part of that process is ensuring their business remains DCAA compliant. That is where Hour Timesheet can help with our DCAA compliant software. We're here to help American innovation move forward.

DCAA Compliance Explained

DCAA Compliance Explained

The term ‘being DCAA compliant’ when referring to your timekeeping procedures is often just thrown around, but if you don’t understand what that means or how to verify that you are, Hour Timesheet can help.

Simply put, DCAA stands for Defense Contract Audit Agency. This is the federal government agency responsible for auditing the Department of Defense (DoD) contracts. As imagined, the DoD is very strict about its rules and regulations surrounding timekeeping. They will award contracts to businesses that use web-based timekeeping, providing the following essential requirements are met.

1. Company timekeeping procedures must be documented in a policy or procedure handbook provided to all employees.

All critical elements of an adequate timekeeping system must be addressed. Companies must provide all employees with an updated policy or procedure booklet regarding timekeeping procedures.

2. Every employee must record all of his/her time daily.

Recording hours worked in advance or days after the fact, such as at the end of the week, is not acceptable. Hour Timesheet comes equipped with reminders to all users to ensure their time is entered daily.

3. Time must be charged by the day and by project or job code and indirect cost accounts (overhead, G&A, B&P, etc.).

This is known as cost accounting, which is defined as the formal mechanism of determining and controlling products or services’ costs. The primary objective of cost accounting is to determine the fair and accurate market value of an item. Then to understand the basis for fixing its selling price. From there, you need to determine what factors affect its cost control and, at the same time, its price reduction? Then identify and eliminate wastes such as materials, expenses, equipment, tools, and other items. Next, ask how to optimize the utilization of resources. Then correctly analyze the cost of both the process and operations. Once that is complete, determine the profitability of the product and help manage the maximization of these profits. Don’t forget to assist in the preparation of budgets and implement budgetary control. And finally, aid management in the formulation and implementation of an incentive bonus plan based on productivity and cost savings.

4. All employees must record 100% of the time worked.

This is true on all projects to the proper job codes, whether working on a government contract or commercial work. The beauty with the Hour Timesheet app is this time can be added anywhere, whether you’re working from home or the office.

5. Employees must record all indirect time not identifiable to a given project to proper indirect cost accounts (overhead, G&A, B&P, etc.)

One example of an indirect cost is overhead, which usually includes the indirect costs involved in support operations or direct production. Though these costs are directly related to a project or projects, they can’t be allocated to one specific contract. This is because they overlap across many different projects. Overhead costs can vary greatly. They may include the depreciation of equipment used on multiple projects, supplies, and quality assurance shared across multiple contracts, in addition to costs like indirect labor and training.

6. Employees must record all PTO, vacation, sick, holiday, and other leave time to the proper accounts.

The good news is, with Hour Timesheet, tracking any kind of leave time such as this is very easy and keeps you DCAA compliant.

7. All job codes that appear in the timekeeping system should be initiated by accounting or the system administrator.

Project codes must be provided to employees authorized to work on a given project. Many companies use codes as opposed to the contract number to simplify the charging process for employees. To remain DCAA compliant, every charge must directly relate to a specific contract and a task within that contract.

8. All timesheet entries must be the employee’s own.

Time must be recorded based on work completed, irrespective of whether the time is billable or non-billable. This must happen daily. Additionally, under no circumstances is a manager or supervisor allowed to record their employees’ time unless there is an extreme situation.

9. Under no circumstance may an employee work on one project and record time to a different project.

This means that whatever work or tasks the employee completes for a specific project must be charged accurately and directly to that project. This is done to avoid falsely overcharging one project and undercharging another. Hour Timesheet can be setup to restrict which codes an employee can charge their time; therefore, an employee cannot charge to a project they have not been assigned.

10. Under no circumstance may an employee work on indirect tasks and record time as direct costs to a project, or vice versa.

An indirect task is a work that is not explicitly tied to a project. To remain DCAA, compliant employees must never charge the time it takes to complete these tasks to any project. This would violate DCAA rules and regulations.

11. Correction timesheet entries should be made by the employee and approved by the employee’s supervisor.

In the unusual circumstances where the employee cannot make the changes to timesheets, then accounting or the administrator may make such changes with the employee’s consent. All corrected timesheet data must be recorded in a detailed audit trail. An audit trail is critical to remaining DCAA compliant. If and when the DCAA decides to inspect your business (and they always will at some point), they will look over every time card entry from your employees with a fine-tooth comb. Thanks to your detailed audit trail, it will show them who had edited a time card after it was submitted, when the changes were made, and why. Hour Timesheet creates an uneditable audit log that will provide a locked record of all the additions, deletions, approvals, and modifications made to your employees’ timesheets.

12. The employee’s supervisor must approve all employee timesheet data.

To comply with DCAA compliance regulations, two signatures are required on each timesheet. Hour Timesheet allows for online signatures at both the employee and manager levels.

13. Employees should be provided documented DCAA compliance & timekeeping training, whether by formal or informal means.

Typically, this training is included in a company’s new employee handbook or new-hire orientation program. Either way the employee is familiar with the company’s timekeeping training before they begin working full-time hours.

14. Timesheets must be maintained for at least two years.

That means they must be kept in a secure and easily accessible location should the DCAA or any government agency require you to produce copies of them. Hour Timesheet keeps the timesheets indefinitely for all employees, current and past.

15. Monitoring of employee timekeeping compliance should be conducted by audit or floor checks randomly throughout the year.

Unfortunately, DCAA timekeeping compliance is the reason government contractors fail an audit. Hour Timesheet can help. We have the employee and contractor time tracking experience to ensure total compliance. Sign up for Hour Timesheet today and work with an experienced implementation rep to review your account for total compliance. All for FREE.

LIVE DEMO

Hour Timesheet Time and Attendance Software

There wasn't an ideal employee time card app on the market until 2016 when Hour Timesheet arrived. Our product is a straightforward time tracking software specifically designed to allow your workforce to get the job done while you, their employer, continue to operate the business successfully.

How to Set-Up your Hour Timesheet Account

  1. It begins by clicking on the sign-up link. There you’ll be prompted to enter your URL, select your settings, and the software will do the rest.
  2. Connect to payroll. Log in to your payroll (ADP, Paychex, Deltek, Insperity, QuickBooks)
  3. Invite Users. Send real-time invites to your employees and contractors.

Our smart wizard will do all of the behind-the-scenes work to ensure you’re set-up, and all your information is correct.

Your Hour Timesheet Options

Hour Timesheet time card app offers many
different features our small business clients can benefit from to suit their
specific needs, including:

  • payroll integration
  • job costing
  • compliance enforcement
  • employee scheduling
  • attendance management
  • email alerts

Hour Timesheet Time and Attendance Software

What was once a traditionally a constant juggle of managing overtime, employee attendance, and, most importantly, the project cost is now straightforward thanks to Hour Timesheet time card app. Our system has a 1-click interface with Paychex, ADP, Insperity, QuickBooks, Deltek, and many other software programs, bringing them all seamlessly together.

Hour Timesheet is DCAA Compliant, which means it includes a detailed audit trail, manager approvals, daily timesheet reminders, and many more options. We even offer an 8-day timesheet option.

Hour Timesheet Leave Management

If leave management is appropriately done, employee time-off requests are handled fairly and accurately so that they get the benefits they're entitled to and that businesses can continue to operate smoothly.

Hour Timesheet’s employee time card app does just that. It provides all staff complete access to their leave history (accruals, carry-overs, etc.) and requests at a glance. The era of having to go through the human resources department to find out how much holiday time they’ve accrued is over. Our time card app is easy to use.  It is a fully automated service designed to track and manage employees' paid time-off, vacation, sick days, or other types of personal leave.

Hour Timesheet Mobile Access

Hour Timesheet’s mobile time card app gives you information on your employees in real-time.  It can improve accuracy, reduce error, increase your business’s efficiency and bottom line. Our mobile time card app offers unprecedented efficiency.

Hour Timesheet Time Clock Integration

Hour Timesheet’s time card app can be integrated if tracking, collecting, and managing attendance and time is simply too challenging for your workforce. Hour Timesheet will work in tandem with you to find a solution. We can provide Biometric, HID Prox, and Bar Code Readers to ensure the time card app is easy to use. That is a welcome addition, not an intimidating factor to your workforce.

Hour Time Sheet Plans & Pricing

Hour Timesheet offers four different plans and pricing. All of our plans provide free training, support, and set-up. All of our plans are month-to-month, otherwise known as pay-as-you-go.

Standard Plan

$3 Per User

  • Job Tracking
  • Alerts
  • Reports
  • Web Clock
  • Mobile App
  • Manager Approvals
  • DCAA Compliance
  • Payroll Integration

Enterprise Plan

$4 Per User

  • Job Tracking
  • Alerts
  • Reports
  • Web Clock
  • Mobile App
  • Manager Approvals
  • DCAA Compliance
  • Payroll Integration
  • Leave Request
  • Employee Leave Management
  • Time Clock Integration

Hour Timesheet

Hour Timesheet offers a simple and straightforward employee time card app for small businesses. As a smaller-sized company ourselves, we understand the need for accurate time tracking and employee management, while allowing your business and workforce to grow. For more information or questions, please do not hesitate to contact us at (832)779-5658.

Measuring Labor Cost and How it Relates to Increased Productivity

Measuring Labor Cost and How it Relates to Increased Productivity

People provide their labor to businesses in exchange for wages, and they trade their unpaid leisure time for paid work time to make a living and to be able to purchase goods and services. Businesses, in turn, use this labor to produce goods and services demanded by consumers.

Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship.

The second factor of production is labor. Labor is the effort that people contribute to the production of goods and services. Your people are the most important assets in your business. They are also the assets that change most often and require the greatest amount of nurturing and development in order to deliver expected results. Effective workforce optimization depends on the right blend of training, performance standards, technology and motivation.

Labor Types

Types of Labor

Unskilled and Semi-skilled Labor - Unskilled laborers may lack basic skills necessary for satisfactory workplace performance. This means someone in your organization must train them, supervise them closely or provide extensive on-the-job training to ensure work is performed as specified.

Salary & Hourly (Wage Employees) -  Salaried and hourly wage labor are those employees whose compensation is in exchange for work done. Do you have an accurate picture of which projects or clients are getting the lion’s share of your employees’ hours? Not likely, unless you’re tracking in real time to see where you’re getting bogged down, where you’re getting the most bang for your buck, and where you might need to allocate more resources.

Contract Labor  - Independent contractors, on-demand or self-employed workers, and freelancers are individuals who do work for you but are not your official employees. If you rely on a contractors to get the job done, sometimes you do need to know when they are working and track how many hours they’ve put in. There are several reasons you might want to track how long, when, or even where your virtual team is working:

  • If you pay them by the hour, tracking contractor hours ensures you aren’t overpaying.
  • If you have contractors who bill by the hour, they need to know their billable hours to invoice accurately.
  • Knowing how contractors worked on a project helps you better estimate job costs so you can bid more accurately for similar jobs in the future.

Defining Productivity

Productivity is the amount of goods and services that the labor force creates.  It's measured by how much is produced by a certain amount of labor and a fixed amount of capital. The more they create, the higher their productivity. Companies seek ways to boost productivity because it increases their profit. High productivity creates a competitive advantage.

Productivity

Eliminating Calculation Errors increases productivity

When you process accurate time cards, you are better able to forecast your labor costs and plan your job cost more effectively. Keeping Excel spreadsheets or pen-and-paper time sheets is definitely no longer the best way to manage your staff. With an intuitive cloud-based time tracking tool (like ours) you are able to manage employee and contractor job cost and absenteeism on-the-go when needed, and create and process error-free payroll every time.

Understanding Data & Analytics increases productivity

Business analysis is an important part of running any company. Taking a look at your business resources and keeping good records of your employee time not only allows you manage project and job cost, it also allows you to forecast your labor costs better for future work.

Being able to pull up your labor data and analyze it to forecast real-time labor costs gives you a great starting point for planning and optimizing your budget.

Improving punctuality makes a difference, and having a way to monitor employee attendance habits keeps your team honest. It also provides a great way to perform employee reviews and audits. Having clear attendance data at your disposal allows you to plan better as well.

Bottom Line

Productivity doesn’t just increase your efficiency. If you do it right, it can also increase your income. True productivity isn’t about getting more things done. It’s about getting the right things done. More income for you means more charity for others, new jobs for others, and new products and services for others.

Let Hour Timesheet help your origination track your labor-force and your productivity today

DCAA Compliance: QuickBooks

DCAA Compliance: QuickBooks

Both QuickBooks Desktop and QuickBooks Online can be set up properly to be DCAA / FAR Compliant. The keys are Job Costing and Labor Distribution. The advantage that QuickBooks Desktop has over QuickBooks Online is it's integrated payroll module that permits direct charging of time direct to the General Ledger including Customer, Job, and Service Items.

QuickBooks Desktop

This interface of web-based time tracking software and payroll makes QuickBooks Desktop the superior tool for DCAA Compliance based on our experience with hundreds of clients over the course of several decades.

QuickBooks Online

While QuickBooks Online is not designed to meet the FAR and DCAA requirements, and it has some limitations on meeting all the requirements, there are ways to make a QuickBooks Online system meet all the government's requirements.

Keys to Compliance

Timesheet Kay Features

  • Employee time tracking posted daily with required explanations for edits and record locking
  • Printable timesheet reports
  • Policies & Procedures oriented toward FAR Compliance Criteria found in DCAA's SF-1408 pre-award audit checklist
  • Consistently applied labor dollar distribution accommodating uncompensated OT for salary exempt personnel
  • Indirect Cost Pools and the ability to compute and forecast Indirect Rates applied to Direct Costs under Cost Reimbursable Awards
  • Progress billing + Cumulative dollar values reported against award ceilings tied to cost proposals
  • Identification and segregation of Unallowable Costs as defined per FAR 31.205

We can Help

Hour Timesheet isn't just a timekeeping software provider for government contracts looking to pass a DCAA audit. We also partner with dozens of CPA firms and consultants who can assist you with the entire life cycle of getting a DCAA approved accounting system. Give us a call today and we can introduce you to our long list of partners.

Call 832.942.9556 today!

QuickBooks Timesheet & DCAA Compliance

Looking for specific QuickBooks timesheet features & DCAA compliance?

What type of firm needs time tracking software?

Most employers who hire hourly employees need to know the number of hours each employee has worked so that payroll can be calculated properly. Government contractors have have a different set of rules and are required to track time, both hours for exempt and non-exempt employees. Even organizations who only hire salaried employees have a need to track projects or tasks for successful project management. That's why finding the right time and attendance software is critical to your bottom line.

features are key

What to look for when evaluating timekeeping software.

When researching tools, make sure the software that you are evaluating includes the following:

  • daily reminders
  • job tracking
  • online approvals
  • detailed audit trail
  • correction time sheet workflow
  • mobile access (iOS and Google Play)
  • web clock
  • integration with your accounting system (QuickBooks Online & QuickBooks Desktop)
  • knowledge of government contracting and how federal governments contract audit agency dcaa regulations

Work smarter…. not harder.

Are you wasting time and money on the following?

  1. Correcting math errors on hours worked and other time activities
  2. Tracking down late or missing weekly timesheets
  3. Manually entering employee time worked into your accounting and/or payroll file?

If you answered yes to any of the questions above, It's time to let today's technology work for you. Intuit and QuickBooks have a marketplace where 3rd party vendors who offer time tracking are listed. Only companies that pass strict guidelines and follow Intuit's partner policies are listed on these sites.

View QuickBooks Online Marketplace Apps here

View QuickBooks Desktop Marketplace Apps here

Hour Timesheet was created for you; with your origination in mind. We have created a simplified solution that captures your complex situations. Give us a try FREE for 30 days. No credit card required. Our experts with over 20 years of industry experience are waiting to hear from you now. Hour Timesheet includes a QuickBooks timesheet import sync that makes your payroll process a snap!

Hour Timesheet can be a perfect tool that will integrate & sync with your QuickBooks Desktop Hosting keeping an eye on your reminders, daily tasks etc. Learn more about add-ons like Office 365 E3 suite for improving your team collaboration.

Incorporating Analytics in Timekeeping Software

Incorporating Analytics in Timekeeping - clock on desktop with cell phone and notebook

Timekeeping software is an essential part of running an effective and profitable business. The days of employees manually inputting data on time sheets or using paper time cards to log work hours are long gone. Enter digital timekeeping software, which HRMS calls the updated and streamlined version of old-school timekeeping methods. 

What is digital timekeeping software?

With each employee clocking or swiping into the system automatically each day, today’s timekeeping software is able to collect massive amounts of time and attendance-related employee data in real-time. This is where data analytics enters the picture.

Through the combination of digital time tracking software data and analytics software, any company can plan the deployment of its workforce, administer leave and time off, and calculate payroll more accurately. While the data for all of this has always been there, with the help of artificial intelligence, or AI, enabled data analytics tools, companies can work towards these tasks much more efficiently and thus, increase overall profits.

How does data analytics play a part?

Modern employee time keeping devices are powered by two of the fastest-growing technologies: artificial intelligence and data analytics. These two innovations have already made massive changes in the way several industries operate. In an extensive post by Maryville University on the outlook for data analytics graduates, they note that the top industries to take advantage of analytics by 2020 will be banking, manufacturing, federal/central government, and professional services. Not only that, since more than 5% of Americans are already working from home, you can already say AI and data analytics-backed businesses are the future.

What insights can timekeeping software give?

There’s no denying that digital timekeeping is the next logical step when it comes to fostering business growth, no matter the size of the industry. Here at Hour Timesheet we understand how critical it is for employers to gain insights into how much time their employees spend on everyday tasks, including breaking down billable hours and accounting for time by projects and tasks. This data lets them see the typical day of an employee, which can help streamline a company’s workflow and create more achievable goals while immediately adding real-time analysis to assist with the ability to manage projects and estimate projects.

How can time tracking and data analytics benefit employees?

Good timekeeping software with an intuitive interface also allows managers to take care of employees’ interests. Employees can track time daily, weekly or hourly online and in real-time. Popular software platforms like Intuit’s QuickBooks desktop and online solutions like Hour Timesheet combine timekeeping with accounting software and directly integrate with QuickBooks. This means that timesheet data can automatically sync between the two systems. Not only is it a more affordable way to manage a company’s invoicing and payroll, but it’s also a great way to keep track of an employee’s leave balance history

Can time tracking software be used for remote employees too?

We recognize the importance of timekeeping software like Hour Timesheet that can also track leave and work hours online and on a mobile time clock app. This is because it’s more accurate than the typical Excel spreadsheet. A cloud-hosted, time management provider such as Hour Timesheet allows workers to do their jobs remotely. 

With a workforce time clock, employers won’t have to worry about their employees tracking their work time, they can keep tabs on leave and absence time, and make sure their employees are working as efficiently as they would if they were in an office. Any dip in performance can be correlated to the data obtained from the employee timesheets; without this data and subsequent review, analytics in timekeeping software would be useless.

Timekeeping software is a powerful tool that companies must use to improve their overall efficiency. It gives employees more control over the time they spend at work, and allows employers to accurately track how much time is spent on different projects. This allows the company to create a positive culture with an improved work/life balance. 

At Hour Timesheet, we strive to make a product that will offer the best, most accurate time tracking, in the most intuitive platform possible. If you want to learn more about our software, contact us today to receive a free, 30-day trial. 

Article solely for the use of Hour Timesheet.

Written by Alicia Clay.