Saving Time with Technology, Time Trackers
For the past couple of weeks we have been talking about how to save time. Well, it is only appropriate that we open the conversation to how to track time accurately and efficiently. So, I want to know, how much time do you spend tracking, adding and calculating your time? When you need to know exactly how much time you spend on a project, client, or specific job function, how long does it take you to figure that out? If you have the data but have never stopped to quantify how much time and effort is involved in assembling that information, the answer may surprise you!
Hour Tracking Applications:
The good news is that there are applications available now that are designed to efficiently track time, in several different formats. There are several reasons to track hours spent on tasks while at work:
- Payroll services become simple, accurate, and virtually automated as time clock features can verify clock-in, clock-out data via GPS and caller ID.
- If you pay your employees by the hour, but they spend some or all of their day working remotely (outside of the office or facility), e.g. Service Technicians, Delivery People, Outside Sales staff, etc., time-tracking increases efficiency and maximizes productivity.
- If your business bills clients by the hour, but you also provide services that are not-billable, tracking captures those “lost” hours that would otherwise end up in the ‘G&A’ section on your P & L, inflating operating costs artificially while simultaneously under-billing for services rendered.
- Finally, tracking time spent on clients including servicing, account management and product costs can help reveal which are your most profitable accounts.
How Can a Time Tracking App Help Your Business?
Another good reason to consider a time tracking app is for their compliance and integration capabilities.
Several of these time tracking apps fully integrate with the most popular accounting programs used by small to medium sized St. Louis businesses. And if your business is considered as an ALE (Applicable Large Employer) according to the IRS, you are required to offer Minimum Essential Coverage to your employees. IRS and State-compliant Full-Time/Part-Time reports that accurately track your employee’s status can be generated quickly and easily, either through the app itself or via integration with the many business accounting software systems.
Whether you manufacture a product, sell a service, or something in-between, time-tracking employees, processes, or logistical events are key to discovering where your profit is made or lost. Many businesses have no real data as it relates to the time it takes to product a widget, or the ancillary costs involved in the process. Likewise, the measurement of the movement of a product through its production cycle, or employees through their daily routine are a couple of examples of a more in-depth and comprehensive application of time-tracking.
The Volpe Consulting & Accounting Team