Employee Time Tracking: Prescription for Payroll Headaches
Employee Time Tracking Prescription for Payroll Headaches By Shannon Corgan, Director of Marketing
Tired of payroll headaches? Look no further, because mobile employee time tracking is your prescription for your payroll headaches. Collecting and managing employees’ time is painful for your payroll team and field supervisors. No one likes mistakes on their paychecks. Three top issues that cause payroll errors. The first issue is manual card computation errors. The second issue is overpayment errors and the third issue is underpayment errors. Now, let’s dive in and see how WorkMax is the best prescription to cure your payroll errors.
Manual Time Card Computation Errors
Employee time tracking on a mobile device is your prescription for payroll success. Without an automated mobile solution, it’s tough managing a labor-intensive payroll process Mobile employee time tracking solutions collect time anytime, anywhere, and on any device. When you collect employee time tracking data on spreadsheets and paper time cards, you’re forced to key in data into the accounting and payroll system. It’s not only a pain for your staff to do; it’s also prone to human error. According to a study by the American Payroll Association, manual time card computation errors cost you between one and eight percent of your annual gross payroll. One percent might not seem like a big number, but don’t forget labor costs are typically the biggest expense on the balance sheet. These manual computation errors happen for many reasons. Reasons include keying errors or misreading handwritten records.
With an employee time tracking solution like WorkMax, you eliminate manual computation errors. WorkMax works where your employees work, whether it’s in the office or in the field. WorkMax collects employee time from a smartphone, iPad, tablet, laptop, or desktop computer. Employees enter their time from any device anytime anywhere. WorkMax removes the need for manual data entry into the payroll system. Supervisors and payroll employees no longer have to worry about double calculating hours worked, illegible handwriting, and manually rekeying the information. Your payroll staff will be extremely grateful to get rid of all of their data entry hand cramps too. With WorkMax TIME, all of your payroll errors from manual time card computation are gone.
Besides accurately collecting labor hours, many companies assign those hours to a particular project or job. They break it down job costs even further into activities or tasks performed by the employee. This is difficult and tedious when you’re using paper time cards and spreadsheets. With WorkMax TIME, allocating labor hours to the right project and activities is easy. It’s done in just a few clicks. In three clicks on any device, employees enter time, pick their activity and project in less than ten seconds. The process is just as fast on a mobile device, iPad, tablet, or desktop.
Overpayments and Underpayments
According to the Ernst & Young Global Payroll Survey, one of the most frequent payroll errors is overpayments or underpayments. Nearly 30% of payroll errors are a result of overpayments or underpayments. Overpayments happen for a few different reasons. One type of overpayment occurs when an employee receives pay after they terminate or start an unpaid leave. There are also time-entry errors when an employee receives payment for too many hours or for paid time off before it’s accured. Errors also happen when there are inaccuracies with hourly rates or salary amounts per month.
If you choose an integrated platform like WorkMax, you reduce the number of overpayment errors. By using WorkMax FORMS combined with WorkMax TIME, employees log time and attendance and fill out needed company forms all within one app. Typical status changes affecting payroll are unpaid leave, paid time off, separation, or jury duty pay. This information is automatically sent to payroll to make sure the employee is not overpaid.
You can also reduce the time entry errors with automated employee time tracking solution like WorkMax TIME. Because there is no manual rekeying of data from the timesheet to the payroll or accounting system and WorkMax TIME calculates the hours worked for you, you virtually eliminate overpayments for time entry errors. Additionally, by choosing a workforce management platform that works with all of your business applications, you can sync your HR database with WorkMax TIME. This ensures your employees are getting paid the right hourly pay rates. Additionally, you can get rid of payroll overpayments with WorkMax TIME’s face recognition and GPS.
Ernst & Young Global Payroll Survey https://eysweeney.com.au/Documents/GlobalPayrollSurvey.pdf