Manage a Business

Manage Your Small Business: The 5 Best Time Clock Software Options

July 22, 2024

5 min read

When you're a small business owner, every minute counts. Time is money, after all, and having an accurate and reliable time tracking solution is essential for managing your team. But manual time cards and paper processes inevitably result in costly errors and extra admin time. The best time clock software solves this problem by automating time tracking so that you can focus on growing your business. 

With easy-to-use time clock software, you'll never need to wonder if your employees punched in and out correctly again, and payroll becomes a breeze. Time clock software is easy to access from any device, and keeps everything streamlined for both employees and managers.

Whether you’re considering using time clock software for the first time, or you're familiar with the idea and looking for upgrade options, we've got you covered. 

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What is time clock software?

Time clock software—also called time tracking software or online scheduling software—digitally records when employees clock in and out. These systems use mobile or desktop apps to allow teams to easily track hours. It can also track breaks and overtime, managing employee time data and providing detailed reporting through cloud-based storage, so that you can get the updates anywhere.

Statistics show that during an 8-hour workday, the average worker only spends 4 hours and 12 minutes actively working. Imagine reclaiming that time for your business! The best time clock software adds accountability by confirming employees are following the schedule.

Managers get reporting dashboards with labor data and timesheets, and some time clocks integrate with payroll and HR platforms to streamline administrative work. Some software may even include advanced features like biometrics to prevent buddy punching.

Why your business needs time clock software.

Implementing a dedicated time clock solution can benefit your small business in many ways. Perhaps most importantly, time clock software helps prevent employee time theft by ensuring compliance with labor laws and preventing unauthorized overtime. But there's so much more a good time clock can do for you. Here are a few examples:

1. Increase payroll accuracy.

With automated time clocks, you eliminate the errors and guesswork that come with manual time tracking. Employees clock in and out with timestamps, accurately tracking and managing employee work hours. This helps increase payroll accuracy and prevents underpayment or overpayment issues.

2. Reduce payroll processing time and costs.

Dedicated time clock software integrates with your payroll systems. You don’t have to waste time manually entering timesheets or double-checking hours. Attendance tracking, a critical feature of this software, reduces admin overhead and processing costs.

3. Improve productivity.

When workers have an easy app for clocking in and out, it creates transparency and accountability. Tracking project progress can improve productivity by providing visibility into task completion and timelines. They’re more aware of rules around breaks and attendance, and this visibility can motivate employees to align with your policies.

4. Minimize compliance risks.

With automated time tracking, you can configure the system to enforce compliance with labor law. This minimizes the risk of fines or penalties for violations. Using built-in reporting tools also helps you monitor and manage compliance.

5. Gain insight into labor costs.

Time clock apps provide real-time data on things like labor costs and overtime trends. And project management features can provide insights into labor costs by tracking job progress and managing schedules. Having insights into costs and bottlenecks empowers you to make data-driven decisions when managing your team and business, so you can adjust easily and increase efficiency.

6. Increase accessibility.

With mobile time clock software, employees can easily clock in and out from any approved location using their smart devices. This supports teams that don't work a traditional office schedule or have multiple job sites.

But before you can move on to tackling some workplace issues and seeing the benefits, you’ll need to find the right type of time clock system for your business—and the employees who will use it.

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How to find the right time clock app.

With so many time clock software systems on the market, it can be tricky to find the best fit. Consider these features and determine which ones are must-haves for you. That way, you can choose a free scheduler software or a paid option to suit your budget.

Employee scheduling and time clock capabilities.

Beyond just a simple time clock, many software options have built-in employee scheduling functions. That way, you can manage your team's time as well as track their time use. The best case scenario would be to find an all-in-one app that does it all, so your team can learn one easy tool that does it all for you.

Geofencing and GPS tracking.

Do you need to ensure accountability? Prioritize time clock apps that allow geo-fencing and use GPS. These tools track employee time by monitoring employee locations during clock-ins and outs. This prevents time theft and confirms workers are on the job. Mobile geo-tracking is also an option for field workers.

Compliance tools.

Compliance controls can help you follow labor laws. This way, you can stress less about overtime and break periods. Automated alerts and reporting make it possible to avoid costly penalties ahead of time.

Having a system that supports compliance can also help you if a dispute ever comes up. Since employers are required to keep records of an employee’s time spent working, your time clock software will make record-keeping easy and accurate.

A digital trail of what time was tracked and what changes were made allows you to be confident in your processes. And you can always refer back to it if any questions arise when processing payroll.

Reporting and payroll integrations.

Speaking of payroll, the ideal time tracking software should integrate with your existing payroll software and HR databases. This way, you don’t have to spend as much time manually entering data. This can also help reduce errors by creating a single source of truth for information on your team. 

Research shows that the most common low to no-value tasks that people waste their time on are unnecessary meetings and unnecessary emails. Having your business software solutions integrated can cut down on a lot of the back and forth. 

User-friendly mobile apps.

If your employees don’t know how to use an app or have trouble with it, they’re less likely to use it. Look for a software that comes with intuitive apps that work seamlessly across devices. Also consider what support and resources are available with the software. If you or someone on your team does get stuck, it’s important to know where to go for help. 

The top 5 time clock software options for small business.

Not sure where to start when trying to find the right time clock software for your business? Free time clock software is an excellent option for small and midsize businesses looking for essential time tracking features. Here are some of the best solutions on the market.

1. Homebase

Homebase is an all-in-one team management software with free scheduling and time tracking tools. Our web-based time clock software and cloud-based platform includes user-friendly mobile apps for teams to clock in/out from anywhere using GPS capabilities. Our time clock data integrates directly with our payroll tools so that timesheets feed directly into your payroll process.

Homebase also offers scheduling tools with drag-and-drop editors and compliance controls. Your managers gain visibility into labor costs and other workforce analytics with customizable reports, so that you can find more ways to streamline your business.

2. Connecteam 

Connecteam’s intuitive mobile apps allow employees to easily clock in/out and view their schedules from any location using GPS tracking. The software includes customizable schedule templates and messaging for efficient team coordination.

Connecteam provides a free time clock app for single users. There are also affordable paid tiers to add more employees. Some features, like integrating with payroll only come with more expensive plans, so be sure to assess your needs and budget when deciding.

3. Acuity Scheduling

If you run an appointment-based small business, Acuity Scheduling might be the software for you. Acuity specializes in online appointment booking and staff scheduling for appointment-based businesses and services. The cloud-based platform allows clients to self-schedule using online calendars that sync in real time across devices.

This option offers recurring appointment scheduling and package options. It can also help you manage payment processing and client intake details. Acuity’s calendar management tools let you optimize employee schedules to keep labor costs in check too. 

4. Asana

While it isn't a dedicated scheduling tool, Asana offers powerful project and task management capabilities that enable employee scheduling using Kanban boards. Teams can create custom workflows and assign responsibilities by visualizing workloads.

Asana's free plan provides unlimited tasks and conversations to manage team schedules and handoffs. Paid plans add more calendar management and admin controls, which is ideal for larger teams. If your small business needs a way to manage time based on projects at a glance, Asana might be the choice for you.

5. TIMIFY

TIMIFY provides simple time tracking for small businesses and teams on a budget. Their intuitive software includes user-friendly tools that allow you to schedule appointments with your customers. 

TIMIFY offers a free option for one user, with affordable paid plans to add more employees. This option lacks some advanced features, but it offers a solid free option for basic scheduling and time tracking needs.

Ready to find the best time tracking solution for your small business?

With so many time tracking software options on the market, small business owners have to take specific steps to make the best call. Will you go with a free clock in clock out app or something else? Remember to determine your must-have features and budget to narrow down the options.

With the right time clock software, you can manage your team's time with ease. Once time tracking is automated, compliance is taken care of, and your timesheets are fed directly to payroll, you'll free up valuable time and resources to focus on what really matters: growing your business and achieving your goals.

Embrace the power of automation with Homebase. Our software is designed for small businesses like yours to make time tracking, scheduling, and team management simpler than ever. Get started today.

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Homebase Team

Remember: This is not legal advice. If you have questions about your particular situation, please consult a lawyer, CPA, or other appropriate professional advisor or agency.

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