What Is the Difference Between DCMA and DCAA?

If your organization has been awarded a government contract, you need to understand two government contract agencies that require your compliance: DCAA (Defense Audit Contract Agency) vs. DCMA (Defense Contract Management Agency).

As of December 2021, the Department of Defense (DoD) reported working with approximately 20,000 contractors within the DOD’s area of responsibility.

With so many government contract organizations spread throughout the world, it’s crucial that the U.S. government develops and regularly updates regulations that keep the DoD and contract organizations aligned in their goals and according to government regulations.

What Is the the Defense Audit Contract Agency (DCAA)?

The Defense Contract Audit Agency (DCAA) is a government agency connected to the DoD, working on behalf of various government agencies.

The DCAA functions to ensure consistent compliance with government regulations such as Defense Federal Acquisitions Supplement (DFARS), the Cost Accounting Standards (CAS) and the Federal Acquisition Regulation (FAR).

What Does the DCAA Audit Cover, Entail and Establish?

The DCAA performs regular audits on government contracted organizations to ensure that each one follows the government’s recommendations and regulations to the letter. Every contractor that applies for and is awarded a government contract understands that it could be selected to undergo a Defense Audit Contract Agency audit at any time.

DCAA compliance means that, per the outcome of the audit, the government contractor follows the federally established guidelines and may proceed with the contract.

Who Needs to Maintain DCAA Compliance?

Every contractor awarded a government contract from the DOD and other government agencies must follow all the federally established laws and guidelines. It is impossible to know if or when a contractor might receive an audit, so it is imperative that contractors commit to continuous compliance.

How to Stay DCAA Compliant

Government contractors must focus on documenting and accounting for various expenditures related to their business, including:

Hiring
Employee time management and payroll
Equipment needs
Any other financial factors related to the organization’s ongoing operations

The Risks and Penalties of Non-Compliance

If a government contractor is found to be non-compliant in one or more areas during an audit, they risk not being able to apply for future government contracts offered by the DoD.

What Is DCMA?

The Defense Contract Management Agency (DCMA) focuses on a part of the DoD that works directly with government contractors to ensure the government is getting the most value and highest quality from each mutual engagement. Operating under the direction of the Under Secretary of Defense for Acquisition, Technology and Logistics, the DCMA is a relatively new area and focal point.

The agency manages each contract issued by the DoD and oversees matters like the delivery of materials and disbursement of requested funds for government projects.

The DCMA is more proactive and cooperative, working in tandem with government contractors to ensure mutual success, rather than what is more of an accountability or watchdog function of the DCAA (Defense Contract Auditing Agency).

The Compliance Requirements for the DCMA

Government contractors must meet certain criteria and expectations to ensure DCMA compliance, including setting and adhering to a specific schedule agreed to in the proposal. They must also prove that they are compliant with agreed upon bookkeeping, time tracking and finances.

The DoD provides each government contractor with at least 32 specific guidelines to follow.

Similar to the DCAA non-compliance penalties, government contractors may lose the ability to apply for and secure future government contracts. Worse penalties involve the cancellation of the current contract.

The DCMA vs. DCAA: How Different Are They?

The DCMA and DCAA primarily differ in the way that each agency interacts with government contractors and the overarching requirements.

Our Time Tracking Software Can Keep You DCAA Compliant Without Worry

Our time tracking solutions at Hour Timesheet can help you achieve and maintain ongoing, pitch perfect DCAA compliance as a government contractor to keep your current contract and receive many more.

If you’re ready to tighten up your time tracking activities and keep the Defense Contract Auditing Agency happy, start your free trial today

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How To Keep Track Of Employee Hours

Time tracking remains the most effective way to measure your employees’ value to your business. It is also the most practical way to pay them for their commitment and service to your organization. That’s one reason why it is so important to find out how to keep track of employee hours.

Additional benefits of learning how to track employee time worked include Defense Contract Audit Agency (DCAA) compliance, accurate payroll reporting, employee performance, time management, project progress, billing clients, and identifying potential issues and problems. Now that we have some thoughts in mind about why employee time tracking is so important, let’s dive deeper into this topic.

Tracking Employee Work Hours

Considering all the benefits of tracking employee time, you are probably wondering about the best way to do it. These days, you have plenty of options, ranging from manual pen and paper techniques and desktop timeclocks to comprehensive automated time tracking software programs that do it all.

Like most businesses, you probably don’t have time to take the traditional route and would rather find a user-friendly, high-functioning and customizable software tracking tool. You might find yourself lost in a sea of time tracking technology, requiring guidance regarding what you need along with best practices and standards.

What to Look for in Time Tracking Software

You might not know how to start your search with so many software options available. Here are four things to look for in time tracking software.

Payroll Integration

Payroll integration allows your payroll system to sync with other software programs. With integrated payroll capabilities, you can quickly and easily access vital information, including historical time and attendance records, all signed documentation from all employees, information about employees’ benefits and tax details, and workers’ compensation files.

Track Employee Hours and Job Costs

Job costing is a method included in different time tracking software that allows you to track all costs and revenue attached to each project. You can track everything from human resource investments to material costs and more.

Leave Tracking

Leave tracking is a crucial feature included with time tracking software, ensuring that your HR team and employees always know the status of vacation, PTO and sick time. Anyone who has managed leave time manually knows that requests for leave slips can fall through the cracks. Leave tracking also lets employees check their available time to avoid any missteps or confusion before making vacation plans. Finally, time tracking software’s inclusion of leave tracking lets everyone in the office know when an employee is out of the office.

Location Tracking

Employees who work remotely or who are frequently away from their desks can let other workspace members know where they are with location tracking capabilities enabling them to not only track employee work hours from Hour Timesheet’s simple and free mobile app.

Frequently Asked Questions

Is your software DCAA compliant?

Yes! Hour Timesheet provides detailed audit documentation, manager approvals and daily employee reminders to enter time tracking information, including authorized charge codes.

Will my team still need to do any manual data entry?

You won’t need to do much manual data entry, if any. We have automated and streamlined nearly every facet of employee time tracking.

Our Solutions Will Streamline Your Time Tracking Processes

At Hour Timesheet, our time tracking software will be a game-changer for your payroll department and employees. We offer an integrated system that ties everything together to keep valuable employee information at your fingertips. You won’t need to wonder about how to track workforce hours again.

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Facts about Employee Time Tracking

6 Facts about Employee Time Tracking

Despite the mixed feelings on time tracking, having the right time management software can be beneficial to both workers and business. Below are several time management statistics and six Facts about Employee Time Tracking to help shed some light on the process and its potential value for organizations of all shapes and sizes.

Time Management Defined

First, what does time management refer to? Essentially, it is the use of a system to log and monitor a person’s activities. Many organizations utilize these systems to track employee hours and how they are using their time on the clock. However, it can also refer to tracking personal time through a private app as well as organization-wide project time tracking, which can be much more complex.

1. Time Tracking May Improve Time Management Skills

First on the list of Facts about Employee Time Tracking is that using even a simple software to track time can help hone a person’s time management capabilities. Such self-development gives an advantage to both individuals and companies. For instance, one in eight surveyed people reported they never feel under control at work. However, when armed with effective time management, it’s possible to gain control over the demands of the day through organization and improved productivity.

2. Employee timekeeping Identifies Areas of Improvement

Did you know the average employee is only productive for two hours and 23 minutes each day? That means a lot of time is being spent on non-work-related tasks such as browsing social media and making personal calls. Although it may appear to take up time to log the employee’s activities, it works to reveal timeframes or tasks where work is not being executed appropriately.

3. Workers in the U.S. Spend 2.5+ Hours on Emails Daily

Drafting and replying to emails is an essential part of many jobs. That being said, a lot of time is devoted to the task and at times, unjustifiably so. The right time management software could expose such waste and steps can then be taken to reduce squandered time.

4. Employee Timekeeping Errors Lead to 50 Million Lost Hours in the U.S.

5. Time of Day Impacts Productivity Levels

According to a 2021 report, productivity rates drop down significantly, all the way to 45%, between the hours of noon and 3 p.m. Freelancers also see a dip, with activity rates falling to 43% between 3-6 p.m.

6. Time Theft Is a Challenge for 75% of Businesses

Time theft can be a serious problem for any size of business. One study even found it causes U.S. employers to lose $11 billion annually. Fortunately, time tracking has been shown to reduce lapses in productivity up to 80% by combating the various form of time theft, such as buddy punching, finishing early and using work time to engage in personal activities.

Don’t Let Valuable Time Slip Away

These industry Facts about Employee Time Tracking and statistics only scratch the surface of the potential benefits time management has in store. If you want to see just how effective time management could be for your business, consider upgrading to Hour Timesheet’s innovative time tracking software. Our easy-to-use platform eliminates hours of tedious manual data entry and streamlines your business’s ability to track employee and contractor hours in real time.

Reach out to us today to learn more!

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The Benefits of Time Tracking Software

Effective time tracking software management can make a world of difference within a team or an organization. When each team member is on top of things, operations not only run smoother, but overall productivity may see a significant boost.

What Is Time Tracking Software

Available for mobile, desktop or both, time tracking software is a means to track the time, resources and manpower spent on each task or as a collective. An individual, such as a freelancer, may utilize it to keep track of personal efficiency, or it could be employed by an organization to better monitor employee performance.

Depending on the software, a time tracking platform may feature an innovative app, reliable tracking for billable hours and even advanced analytics and reporting. Having these conveniences at hand could help streamline various processes while also ensuring essential tasks are getting done on time.

How else might it be beneficial?

Provides greater organization and prioritization

One of the top advantages of time tracking software is that it could greatly diminish the time it takes to organize a whole list of tasks and put them in order of priority. This is especially true in terms of optimizing daily work and meeting important deadlines. Having a reliable tool to schedule tasks based on importance or even profitability could be very valuable when prioritizing which assignments to finish first and for cutting project costs.

Enhances workflow

Similarly, time tracking software can help a business see the big picture and, therefore, adjust the workflow accordingly. For instance, when provided with an overview of how employees are spending their time, the status of important projects, etc., management could more efficiently rearrange or assign tasks, update coinciding processes and plan for future projects. As a result, employees can focus more on efficiently fulfilling their responsibilities.

Offers effortless integration

Another major advantage and convenience is that most time tracking services can be effortlessly integrated with existing software. In fact, adding this handy tool to your current business or project management software is typically done quickly and with minimal interruption.

Such software can easily connect to payroll processes as well. By integrating data from the time tracking software with the payroll system, a company could gain a more in-depth assessment of its finances and reevaluate costs as needed.

Improves operations through data

Data is an invaluable resource in our modern world. With time tracking software, an organization can amass information surrounding the performance of the team as well as individual members. The data gained may also offer precious insight for future planning. Whether it’s used to refine budgetary expenses or strengthen the team’s collaboration, time tracking data can be a very powerful weapon to have in a business’s arsenal.

Finding the right software timekeeping software for your requirements

If time tracking sounds like a good fit, consider the professional services available through Hour Timesheet. Our time tracking software features an easy-to-use time tracking app designed to monitor employee and contractor hours in real time. It also tracks leave time, location and third-party approvals as well as billable and non-billable hours.

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Myths about Time Management Software | Hour Timesheet

Time management is essential to your business because it lets you increase the quality of your work and services. Have you ever thought about implementing time management software? This lets you and your employees keep track of the time spent working on various projects and tasks, which can lead to improved productivity and morale. This software can also help your team learn how to make the best use of the day. Let’s dispel some common time management myths. Read on to learn more.

1. Time Management Software Is Too Complex

Don’t believe this myth; time management software isn’t difficult to learn. Although it’s complex in functionality, it’s designed to be easy to use. Individuals usually learn how to use the technology quickly.

While some time management software tools need mastering, others are straightforward. It all depends on finding the right software and/or tools that fit your preferences and needs. In some cases, these tools can be integrated with other productivity programs or apps.

2. Time Management Software Is Costly

Avoiding time management software because it seems too expensive? If so, you’re not alone, however, not all time management software is expensive because most of them are cloud-based. This means it can be paid for monthly as a subscription. Additionally, you may already own free or low-cost options, enabling you to save money.

3. Time Management Software Is Only Suitable for Managers or Specialists

You don’t have to be a manager or IT specialist to use time management software. It can be a helpful and powerful tool for anyone, regardless of one’s position, work status or job experience. It can also help workers monitor progress on tasks as well as stay accountable.

4. Time Management Software Can Be a Distraction

This myth is quite the contrary. In fact, time management software can help employees stay focused on their work and meet deadlines. Doing so helps workers get the most done in the time allotted for each task. This means more productivity and less wasted effort.

Why Choose Us for Your Time Management Software Needs?

Hour Timesheet is proud to provide your small- or medium-sized company with a DCAA compliant time tracking solution that can improve your processes. While complex and robust in functionality, our time management software is easy to use as it has a simple user interface. We can also ensure that you are always in compliance with DCAA timekeeping requirements.

Have a remote workforce? If so, our Hour Timesheet Mobile© app can help your remote workers track breaks, drive time, lunch, employee location and more. It can even integrate with other helpful accounting and HR apps. You can sign up for a free 30-day trail account to try our software. Our experts can even help you setup your account at no extra charge.

If you’re ready to streamline your timekeeping processes, reach out to us today.

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Tips for Managing Remote Teams with Time Tracking Software

Not too many years ago, the idea of working from home was met with general skepticism from the business world. Today, however, it seems as though remote work is here to stay. The benefits for employees are numerous, and employers are seeing higher workforce satisfaction as a result. Despite the advantages it provides, there are some challenges that come from managing remote teams.

One of the biggest of these is keeping track of everyone’s hours. Fortunately, time tracking software can help. Hour Timesheet’s powerful platform enables your team to check in from wherever they are and keep you appraised of what they’re doing with regular reports delivered straight to you. To help you make the most of this arrangement, here are some tips for managing remote teams with time tracking software.

Resist the Urge to Micromanage

Just because you’re not physically hovering over employees’ shoulders doesn’t mean you’re not stressing them out. You may be tempted to send regular check-in emails or Slack messages to keep tabs on everyone’s progress, but this can become a real nuisance. Using time tracking software means you can check in with a glance at your dashboard, which makes nagging virtually unnecessary.

Lay Out the Expectations Clearly

One of the most important tips to manage remote teams is to make sure everyone knows what the boundaries are from the outset. Leaving things like start times and lunch breaks vague can encourage some people to take advantage. If you expect everyone to be logged in by 8 am, you need to make that clear immediately and in no uncertain terms. Having a time tracking platform is the easiest way to make sure everyone is holding up their end of the bargain.

Choose a Platform That Integrates With Your Systems

A time tracking solution is not as valuable as it could be if it is siloed from the rest of your processes. That’s why it’s important to choose one that connects with your payroll software and other systems such as QuickBooks. It’s much more likely that everyone will be onboard with regularly using it and not leaving it to gather dust.

Managing Remote Teams with Hour Timesheet Promote Transparency

Implementing time tracking software keeps your team honest and engaged because they will know you can see how they’re spending their time at any given moment. This takes the burden of monitoring them off your shoulders and ensures everyone knows what’s going on at all times.

Why Choose Hour Timesheet to Manage your Remote Workers?

With a wide range of features including mobile app integration, location tracking and leave time management, our solution is the perfect way to managing remote teams. Our software is DCAA compliant, meaning you can be sure it fulfills all the highest expectations for government contracts.

To learn more about what we have to offer and how it can benefit your business, reach out to speak with us today or schedule your live demo.

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How Does Time Tracking Software Work?

With the exception of capital, there is perhaps no more precious resource in the business world than time. Managers and team leaders need to be certain that their employees are using this resource as effectively and efficiently as possible to keep their businesses running smoothly. However, this can be challenging, especially if your team members are working on multiple projects simultaneously. How Does Time Tracking Software Work? Keep reading to learn more about Hour Timesheet.

The process becomes even more complex when you factor in independent contractors who may be contributing to a project. In the past, filling out timesheets and spreadsheets by hand was the only way to account for everyone’s hours. Today, however, time tracking software makes keeping track of what everyone is doing much easier. But how does time tracking software work? Read on to learn more about how Hour Timesheet’s powerful solution can benefit your business.

How Does Time Tracking Software Work with Hour Timesheet

When installed and integrated into your existing systems, this type of software allows you to create projects and assign employees to them. On their end, employees log into the platform either on their desktops or through a mobile device such as their smartphones. As they begin work on their assigned tasks, they check in through the software to start tracking the hours they spend. When they’ve completed a task, they mark it as finished.

As the manager or team leader, you can check in through a centralized dashboard to see everyone’s progress in real-time. The application also creates reports that you can download to see all the activity for a specific project, employee or team.

Advantages of Time Tracking

With our solution working to track your employees’ hours, you gain a number of benefits. These include:

Increased engagement: When employees are held accountable for how they spend their time, they’re much more likely to stay focused and engaged on their assignments.
Reduced errors: Spreadsheets and paper timesheets can introduce human error into the equation. Our automated software prevents costly mistakes.
Numerous integrations: By connecting automatically to many of the most popular platforms used by companies today, our time tracking software creates a seamless experience for everyone involved.
Streamlined management: Because you don’t have to focus as much of your attention on keeping tabs on your workers, you are free to concentrate on more important aspects of your job.
Actionable data: The reports generated by our solutions give you accurate, actionable information you can use to forecast the resources needed for future projects. They also help you understand which contracts are delivering the most return.

Why Choose Hour Timesheet?

We offer you and your employees a wealth of features, including mobile app integration, location tracking and leave time management. Because our software is DCAA compliant, you can be certain that it can satisfy even the most stringent requirements for contractors serving government contracts. By integrating with your payroll through QuickBooks and other popular business platforms, it also provides you with the easiest and most efficient means of tracking everything your employees and contractors have been doing.

If you’d like to learn more about our software or schedule a free trial, get in touch with our representatives today.

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Why Is DCAA Compliance Important?

It can’t be overstated just how crucial transparency and accuracy are to your clients. Not only do they count on your expertise, but also they need fair and accurate accounting of your service. This need becomes even more pronounced when working in the public sector for governmental agencies. With taxpayer dollars being used for your services, there’s pressure to ensure that every last cent is being used in the most appropriate manner. This is where the Defense Contract Audit Agency (DCAA) comes into play. DCAA audits contractors who work for the Department of Defense and other government bodies to ensure funding is being spent according to the terms of the contract.

Timekeeping is one of the most critical aspects of your reporting when it comes to government contracts. You need to make sure your records can stand up to the scrutiny of a DCAA audit. Why is DCAA compliance important, and what steps can your company take in that regard? Read on for answers.

Why DCAA Compliance Matters

In short, the survival of your business could be at stake. Government contracts can be very lucrative, but they come with a host of responsibilities that must be taken seriously. If your organization is audited by DCAA and discrepancies are found in your timekeeping, the results can be disastrous. Not only can you face sanctions and risk your contract being terminated, but you can suffer a loss of reputation that would make it extremely difficult to win future contracts.

What Are the Requirements for DCAA-Compliant Timekeeping?

The onus for keeping accurate and compliant timesheets under DCAA is on employees. Here are the requirements each must follow:

Having a time card or unique access to your timekeeping system
Only possessing one time card
Tracking their own time, without managers or supervisors doing it for them
Making adjustments with a description of the changes, date and initials
Attributing hours to specific projects
Reviewing timesheets for accuracy
Preventing payroll accountants from also serving as timesheet administrators
Ensuring that employees are subject to unannounced inspections by DCAA to verify their timekeeping

What Are the Consequences for Noncompliance?

Contractors whose employees do not follow the proper procedures are subject to termination of contracts as well as other sanctions. These can include criminal and civil penalties, as well as being listed in the Excluded Parties List System. The latter means the contractor would be barred from receiving government contracts in the future.

How Can My Firm Ensure DCAA Compliance?

One of the best ways to stay out of trouble is to use an automated timekeeping system that allows employees to enter their hours without risk of human error or oversights. Hour Timesheet provides a powerful time-tracking solution that streamlines the process of tracking hours and ensures your firm remains in compliance with even the most stringent standards. Get in touch with us today to learn more about what our software can do for you.

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DCAA Compliant Timekeeping Software for Remote Teams

Guide To Timekeeping Software for Remote Teams

Whether you like it or not, remote work likely is here to stay. The COVID-19 pandemic forced businesses to get creative and adapt on the fly to maintain productivity. Although some workers couldn’t wait for restrictions to be lifted so they could return to the office, others found working from home much more beneficial. As offices allow greater flexibility to accommodate employees on either side, some new dilemmas need to be solved. One of these is how to keep everyone accountable for the hours they work when they don’t have access to a physical time clock. Remote timekeeping software became a critical need overnight.

Complete and accurate timekeeping is very important for accountants, consultants and other types of contractors. Thus, the need for simple and streamlined time tracking for remote teams is vital. Read on to learn more about how automated software can help.

How Automation Benefits Remote Workers

Today’s workplace exists in the virtual realm as well as in the physical space of the office. Your timekeeping should be no different. When you have employees working in multiple locations spread out across the city or even across the country, the right timekeeping Software for Remote Teams becomes important. Time tracking software from Hour Timesheet makes it easy for workers to enter their hours and share them immediately with their managers or supervisors.

This solution eliminates the tedious work of filling out spreadsheets or even keeping pen-and-paper records. Employees will be able to enter the details quickly, enabling them to concentrate on their projects. It also means they can avoid oversights and mistakes that can lead to discrepancies and backtracking.

What Our Software Can Do for You

Choosing our platform means you gain a robust solution for tracking your entire team’s hours, no matter where they are. Among the many features it includes is complete synchronization with corresponding mobile apps. Wherever your team members are working, they can enter their hours using a smartphone or other device and have that information uploaded instantly to the centralized system. Reminders are completely automated, so there’s no need for managers to spend time trying to track down late reports or collect signatures.

Our product is so well-equipped that it is DCAA compliant. This is critical for contractors who work with the government because it ensures their timekeeping will always stand up to the extreme scrutiny of a DCAA audit.

Choose Hour Timesheet and Simplify Your Remote timekeeping Software

Having your workforce scattered across multiple locations may be the norm today, but that doesn’t mean you have to sacrifice accuracy in your time tracking or commit to onerous processes that stifle your productivity. Hour Timesheet’s Remote timekeeping software gives you all the resources you and your employees need to keep up with their hours without missing a beat for your clients. If you would like to learn more about our technology and everything it can do for you, get in touch with one of our representatives today or use the links below to get started.

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DCAA Compliant Timekeeping Software for Remote Employees

Dog is sleeping while his owner is working from home

Time Tracking Software For Remote Employees

One of the biggest impacts the COVID-19 pandemic has had on the world has been the way it has changed the workplace. Once an extremely rare arrangement reserved for specialists or a perk used by forward-thinking tech startups, remote work suddenly became the norm for millions of professionals around the world. Although the benefits have made themselves apparent as the business world adapted — greater flexibility, fewer work-life balance issues, higher employee satisfaction — this paradigm shift also brought with it some challenges. DCAA Compliant Timekeeping for Remote Employees is now a critical need for government contractors

For example, industries that depend on keeping meticulous records of the hours each employee works per client were left questioning how they could continue to do this with their workforces decentralized. Having team members working in so many different locations made it more difficult to make an accurate report. The issue was compounded for firms that hold government contracts, as the need for transparent and precise recordkeeping is even more crucial.

Fortunately, Hour Timesheet has a ready-made solution for this new status quo. Our powerful and versatile time tracking software for remote employees ensures that every individual’s hours can be tracked down to the last minute no matter where they are.

How Our Software Can Help with DCAA Compliant Timekeeping for Remote Employees

When you choose our solution for remote employee time tracking, you gain access to a wealth of features designed to streamline this process. First, it eliminates the need to enter data by hand on a spreadsheet or similar system. This cuts down on the time each employee spends on mind-numbing busywork and removes the risk of human error and oversights.

Also, managers and supervisors gain exceptional visibility into how well their teams are utilizing their resources. From the main dashboard, they can see exactly what everyone is doing and how long it’s taking them. With the reports our software generates, clients also can have a complete accounting of your hours, giving them peace of mind and preventing conflicts or misunderstandings.

Our software also syncs with the corresponding mobile app, which enables workers to enter their information from virtually anywhere they have Internet access. The details are shared within the system instantly, providing immediate status updates anytime anyone clocks in or out through the system. All leave requests also can be handled through the app, so employees working remotely can easily ask for PTO.

Perhaps most important for firms working with the public sector, our solution is completely DCAA compliant. This means it creates reports that can withstand the most intense scrutiny from government audits. Our software ensures that your company will always be in compliance, helping you earn more contracts and grow.

When you choose our platform, you’ll also take advantage of no-contract, pay-as-you-go pricing that includes free setup, support and training. You’ll never pay a penalty for leaving if you’re no longer using its benefits. If you’re ready to learn more about how our software can help you manage your remote workforce, get in touch with us today to schedule a live demo or begin your free trial.

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