![]() ![]() ![]() Whatever time increment you choose to track, be sure to record it in your employee handbook and explain the rounding rule you’ll abide by. This system of rounding for 15-minute increments is commonly called The 7-Minute Rule. Similarly, if your business tracks time in 15-minute increments, any time between 5:01 and 5:07.59 rounds down to 5:00, while any time between 5:08 and 5:14.59 rounds up to 5:15. To help simplify payroll calculations, the FLSA allows employers to round the clock-in and clock-out time to the nearest increment tracked.įor example, if your business tracks time in 10-minute increments, 5:01, 5:02, 5:03, and 5:04 would round down to 5:00 for payroll purposes, while 5:05, 5:06, 5:07, 5:08, and 5:09 would round up to 5:10 for payroll purposes. But not everyone clocks in or out on the 10- or 15-minute mark. Most businesses track time in 10- or 15-minute increments (anything less than 10 starts to make payroll more difficult). One of the first steps in setting up time clock rules for hourly employees is choosing the time increment your business will track. 2) Round Time To The Nearest Tracked Increment ![]() We’ll discuss the best way to keep accurate time - which incorporates many of these modern options - later on in this article. SMS Clocking - Employees text a virtual phone number when they begin and end work Mobile Phone Clocking - Employees use a mobile phone or device to punch in and out PC Clocking - Any PC with an internet connection becomes a clock-in/clock-out station Proximity clocking - Manual input methods such as swipe cards, key fobs, or ID badges One thing every business must do in regard to time clock rules for hourly employees is to keep accurate records of all time worked.īusinesses incorporate all manner of automated time-keeping systems into their workflow, including:īiometric clocking - Biometric scanners track arrival and departure Common Time Clock Rules For Hourly Employees 1) Use An Accurate Time Keeping System And practices even differ from industry to industry, so it’s essential that you talk to an attorney who is well versed in both labor law and the industry in which your business operates. Most states also have their own laws that apply to clocking in and out. Through the Department of Labor, the federal government established the Fair Labor Standards Act (FLSA) which sets guidelines related to: The FLSA And Time Clock Rules For Hourly Employees In this article, the workforce management experts at Sling tell you everything you need to know about time clock rules for hourly employees so you can keep your team happy, satisfy all federal government mandates, and streamline the time-tracking and payroll processes. Without them, your business could be running afoul of the federal government and the team members you depend on to get the job done. Every business needs time clock rules for hourly employees. ![]()
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