6 Ways Subcontractors Benefit From a Time Tracking App
Change is difficult, especially when it seems your current system works well for your company. However, the average payroll error is 1.2% according to a Nucleus Research Study, and the American Payroll Association shows that paper time sheets actually cost your company. A subcontractor time tracking app might seem like a daunting investment, but the amount of time and money you’ll save will make it worth it. And those aren’t the only benefits you’ll see from switching to a subcontractor timesheet app. Here are six ways subcontractors benefit from a time tracking app.
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1. Record of Work
It’s important when you start a job to have a way of tracking how much time is spent on the job especially when it comes time to bill for your services. A subcontractor time tracking app is an easy way to keeping an accurate record of work per job. It also provides you with a back up of your hours in case of an issue with the contractor’s timekeeping system, ensuring you and your employees get paid for the work put into the site. Not only does it act as a record of work for the contractor, but it provides accurate timecards in case of a legal dispute of hours. Especially if the software is cloud-based.
2. Project Costing
By using a time tracking app or timesheet app, you’ll have an accurate and up-to-date record of project costs. This helps you better budget for future projects, or better inform the contractor of any increase of project costs. When implemented with a project management app, it can help you better organize a project so that employees who are faster at a certain task can be assigned to that task regularly, increasing efficiency.
A subcontractor time tracking app that use location services when people clock in and out allows for greater employee and employer accountability. Locations services can tell you where and when an employee clocked, and if it was indeed the job site. This eliminates time theft, buddy punching and other issues that can occur with paper timesheets or punch cards. This form of remote supervision can help you find employees if you need to see or speak to them, instead of having to call all your sites to find where they are.
4. Payroll and Billing
Most time tracking apps have some way of taking the time cards and inputting it into your billing and payroll software. This simplifies and reduces the amount of time you have to spend putting together billing and payroll. Instead of having to collect everyone’s timesheets you have all the information available to you in the blink of an eye. You save time by not having to manually input all of your employees’ information into payroll individually. You have easy to input hours worked per job site that you can input into your billing software. And you save money by having saved all that time.
Subcontractors who use time tracking apps rather than paper timesheets or punch cards have a reliable system in place. A subcontractor time tracking app usually work on a network and back up online, this means that the data won’t be lost like time cards or timesheets. The reliability of time tracking apps reflects upon subcontracts. Subcontractors who embrace technology like time tracking apps will be seen as reliable because contractors can trust that the employees will be on site doing their job and that they or the project won’t be billed for time off-site. This increase in reliability and reputation will benefit your subcontracting business.
The amount of information available to you or your HR team from a subcontractor timesheet app will help you improve various areas of your business. The amount of time in various areas you’ll save from a timesheet app will be easily seen in the money you’ll save. This increase in profitability will benefit not just you, but your business. You and your employees will be able to spend your time working on other areas of your business rather than focusing on tracking time, allowing your business to grow.
These six reasons are just a few good reasons to seriously consider implementing a timesheet app for your business. Great time tracking apps are fairly intuitive, requiring little training for your employees to use, and a great investment in your business.
FAQs – 6 Ways Subcontractors Benefit From a Time Tracking App
1. What is a subcontractor time tracking app, and why should I consider using one? A subcontractor time tracking app is a digital tool that allows subcontractors to record and manage their employees’ work hours, ensuring accurate timekeeping for payroll and billing purposes. Considering the potential benefits, such as reducing payroll errors and saving time and money, makes adopting a time tracking app worthwhile.
2. How does a time tracking app help with maintaining a record of work? A subcontractor time tracking app provides a convenient and accurate way to record the hours spent on each job. This information serves as a reliable record for billing clients and ensures that you and your employees are compensated correctly. In case of any disputes or legal issues related to hours worked, having a digital record can be invaluable.
3. How does a time tracking app assist with project costing and budgeting? Time tracking apps provide real-time data on project costs by accurately recording labor hours. This data can be used for better budgeting and cost estimation for future projects. When integrated with project management apps, it helps optimize task assignments, ensuring that employees with specific skills are assigned to tasks they excel at, thus improving project efficiency.
4. How does a time tracking app enhance accountability among employees and employers? Many time tracking apps incorporate location services, allowing you to track where and when employees clock in and out. This feature promotes accountability by preventing time theft and “buddy punching.” It also offers remote supervision, making it easier to locate employees if necessary, thereby ensuring that they are on the job site.
5. How do time tracking apps simplify payroll and billing processes? Time tracking apps often integrate with payroll and billing software, streamlining these administrative tasks. Instead of manually collecting timesheets, the app provides all the necessary information, reducing the time required to input employee data for payroll. This automated process saves time and money associated with payroll and billing activities.
6. Why are time tracking apps considered more reliable than paper timesheets or punch cards? Time tracking apps operate on a network and typically offer cloud-based backup, ensuring that data is not lost. In contrast, paper timesheets and punch cards can be misplaced or damaged, leading to unreliable records. The reliability of time tracking apps reflects positively on subcontractors, enhancing their reputation for professionalism and accuracy.
7. How does using a time tracking app contribute to subcontractor profitability? Time tracking apps provide valuable data and save time, ultimately leading to increased profitability. The time and resources saved by automating timekeeping and administrative tasks allow subcontractors to focus on other aspects of their business, leading to growth and improved profitability.
8. Are time tracking apps user-friendly, and do they require extensive training for employees? Most time tracking apps are designed to be intuitive and user-friendly, requiring minimal training for employees to use effectively. The simplicity of these apps ensures a smooth transition from manual timekeeping methods to digital solutions, benefiting both subcontractors and their teams.