The energy drink, Red Bull, is a money trap. $3 is cheap for a Monday morning kickstart. But you see a case for $35 at Costco. That's half-price! You run over an old lady and load a case into your cart. Your Monday boost is now a daily habit that's killing your health and budget. Likewise, the habit of using handwritten timesheets to track labor costs is a money trap, or honestly, it's like burning $100 bills.
Do you want to ensure that your employees are always at the job site when clocking in?
The Cost of Using Handwritten Timesheets
A small business study revealed that employees steal 10 minutes a day from their employers. This time theft happens when remote employees use handwritten timecards. You may be aware that this practice occurs in your company but don’t know how to stop it, or you haven’t considered it a big deal. It is.
Let’s illustrate, and we'll assume that your cleaning employees are twice as honest and accurate as the average employee, and you only lose 5 minutes a day per employee.
- At $12 an hour, that’s 20 cents a minute x 5 minutes a day = $1 a day per employee
- 15 employees = $15 a day, $75 a week, and $3900 a year in unearned, non-productive wages.
Ouch! Handwritten timecards are painful!
Then, consider the payroll expenses associated with these extra unearned wages, such as workers' compensation and payroll taxes.
Stop Time Theft with a GPS Time Clock App
Use a GPS time clock app to stop time theft. The use of simple technology puts money back in your pocket. For example, your cost for using our time clock app for 15 employees is $89 a month, $1068 a year. We already determined that you're losing at least $3900 a year + workers' comp and payroll taxes. Your net gain is $2800 a year in easy money that's not taxed.
Then consider other tangibles such as no-show alerts, advanced team communication, HR benefits, and profit forecasting. You make more money and get a system to help manage your employees. Check out our survey of customers and how most report saving at least 5% on labor costs.
Don’t allow inaccurate timekeeping methods to be a money trap for your small business. The costs are real, must be counted, and are avoidable with a GPS time clock app. The excitement over more money in your bank account and a management system to make your life easier will eliminate your need for Red Bulls.
Conclusion
In conclusion, relying on handwritten timecards poses significant risks and inefficiencies for businesses, ultimately becoming a costly money trap. Handwritten timecards are prone to errors, inaccuracies, and manipulation, leading to payroll discrepancies, overtime disputes, and potential compliance issues with labor laws. Moreover, manual timecard processing is time-consuming and labor-intensive, diverting valuable resources away from core business activities. Transitioning to automated time tracking solutions, such as biometric time clocks or mobile apps, offers a more reliable and efficient alternative. These solutions streamline time tracking processes, reduce errors, and provide accurate data for payroll processing and compliance purposes. By embracing modern time tracking technologies, businesses can eliminate the pitfalls associated with handwritten timecards, improve operational efficiency, and ultimately save time and money.
By embracing these solutions, you can simplify payroll processes, reduce administrative burdens, eliminate time theft, and minimize costly mistakes. Invest in an automated time clock system to save time and money while ensuring accurate and efficient payroll calculations. With the right tools and processes, you can focus on more strategic aspects of your business and watch your profits grow.
