What Is Time Tracking Software?
Time tracking software helps companies and their employees keep better track of their time while at work. These tools can calculate how many hours staff members work, whether they clock in or out late, manage time-off requests, give insight into how employees are spending their time while on the clock, and easily invoice billable hours. Many companies like to use these tools to see what tasks are getting done and to make sure that their team members are being productive while they’re on the clock.
Not all time tracking software is exactly the same, but most options have similar features. A lot of time tracking software also includes other powerful tools to help improve productivity and project management so that companies can be their best.
When companies start using these tools, they’re often able to waste less time, improve productivity, put a stop to problem employee behaviors and invoice and bill more accurately for the work that they do.
Benefits of Time Tracking Software
Properly tracking employee time and understanding how long it takes to complete projects and tasks is a struggle that businesses of all sizes face. It can be hard to keep good records and to be accurate when there are so many staff members and projects to keep track of, but the right time tracking software can help in so many ways.
Here are some of the top benefits of time tracking software:
- Get more work done. Put a stop to time-wasting habits, improve productivity, better prioritize projects and tasks to get more work done faster.
- Track hours and time faster. With automated tools, it takes less effort to track employee hours and it cuts down on admin-related HR tasks.
- Improve the accuracy of payroll and invoicing. When you know how much time it takes to do certain tasks, you can estimate projects better and invoice clients more accurately. You can also improve the accuracy of your payroll.
- Improve employee behavior. You can put a stop to time-wasting behaviors like visiting non-work websites and clocking in late and can help every member of the team be more productive.
- Get a clear picture of where projects stand. It’s easier to see where projects stand, what tasks are in progress and what work still needs to be completed.
- Make better business decisions. Utilize powerful reporting tools to see where you need to make changes to be a better company.
Must-Have Features for Time Tracking Software
You want to choose a tracking software that will meet your team’s needs. Before you make a decision, take some time to figure out what features and capabilities are included in a potential software choice. Here are some must-have features to look for:
- Time tracking. You want to be able to easily track every minute that your employees spend at work and have the ability to auto track time.
- Project management tools. It should be easy for team members to prioritize tasks and to see where projects stand so they can boost their productivity.
- Monitoring tools. The right software will make it easy to monitor how employees are spending time and what websites and apps they’re visiting.
- Online timesheets. It should be easy to see billable hours, absences and time off to make payroll and invoicing tasks simple.
- Collaboration tools. It should be easier to work together as a team and to properly communicate as you all work on different tasks and projects.
- Good software will have alerts in place to help you avoid late project completion, overtime hours and absences.
- Reporting tools. You should be able to take important data from reports to make changes to your work habits and company rules to be better.
The Cost of Time Tracking Software
The cost of time tracking software varies. Some software is affordable while other software options are more pricey because they’re a well-known brand or their software includes many more features than competitors. Some brands charge a flat monthly fee based on how many employees a company has while others charge a monthly per-employee fee for their services.
Medium- to large-sized companies who are ready to invest in time tracking software can expect to pay several hundred dollars per month. Smaller teams, with less than 10 employees, can expect to pay $50-$125 per month. Freelancers and self-employed individuals can pay a very low rate, usually around $5-$25 per month.
Many time tracking software companies offer discounted pricing if paying annually, as opposed to monthly billing. It’s also pretty common for software to offer a free trial, so be sure to check into this so that you can test out the features before committing.