Global HR Glossary

What is a Timesheet? 

A timesheet is a tracking tool used to record the hours worked by an employee during a specific period. This tool is crucial for managing payroll accurately, complying with labor regulations, and allocating labor costs to specific projects or tasks. Timesheets can be paper-based or digital, with modern solutions offering features that streamline data entry, improve accuracy, and integrate with other payroll and project management systems.

Effective Timesheet Practices

• Accuracy: Critical for ensuring employees are compensated correctly for their time, including overtime and differentials.

• Compliance: Helps organizations comply with employment laws regarding working hours, overtime compensation, and record-keeping requirements.

• Project Management: Enables effective monitoring and management of project budgets and workforce allocation.

• Technology Integration: Advanced digital timesheets can automate time tracking, provide analytics, and enhance overall time management efficiency.

Benefits of Using Timesheets

• Improved Payroll Accuracy: Reduces errors in payroll processing, ensuring employees are paid correctly.

• Enhanced Productivity: Helps identify areas where work processes can be optimized.

• Cost Management: Assists in tracking and managing the costs associated with labor, helping businesses budget more effectively.

Adopting modern timesheet systems can significantly benefit an organization by enhancing accuracy, improving compliance, and providing valuable insights into how employee time is utilized across different projects and tasks.