Time and Attendance

Discover what time and attendance management is and why accurate attendance and timekeeping are important.

By Marina Timchenko

Time and Attendance

Why is time and attendance important?

Without time and attendance tracking, a business may face decreased efficiency, increased costs, discipline issues, and even legal risks. When time and attendance are under control, you gain better visibility into workforce performance, improve payroll accuracy, reduce costs, and ensure compliance with labor laws.

Common methods of tracking time and attendance

Tracking employee time and attendance has evolved from paper-based logs to advanced digital systems. Understanding both traditional and modern methods helps businesses choose the right solution based on their needs, size, and workflow. Below, we compare key methods, their advantages, drawbacks, and typical use cases.

Manual Tracking (Paper, Spreadsheets)

Pros: Simple, low-cost, no tech needed

Cons: Error-prone, time-consuming, hard to scale

Use: Small teams, short-term or low-tech setups

Biometric Systems and Access Cards

Pros: Accurate, secure, prevents time theft

Cons: Costly hardware, privacy concerns

Use: High-security, larger organizations, on-site staff

Cloud-Based and Mobile Software

Pros: Real-time access, automation, remote-friendly

Cons: Needs internet, may have subscription costs

Use: Remote teams, growing businesses, modern workflows

Time and attendance vs time tracking

Why, besides tracking time, should you also track employee attendance? Let's see.

  • Attendance tracking focuses on work presence - when an employee starts and ends their workday. It answers questions like “Was the employee present today?” or “How many hours were they on site?” This is typically used for payroll, compliance, and shift management. For example, a retail store uses attendance tracking to know when staff clock in and out.
  • Time tracking, on the other hand, records how long an employee spends on specific tasks or projects. It answers “How much time was spent on each activity?” and is often used for productivity analysis, client billing, or project costing. For example, a marketing agency uses time tracking to log hours spent on different client campaigns.

So, tracking attendance ensures employees are present and working their scheduled hours, while time tracking shows how that time is spent. They together give a complete view of productivity and accountability.

What is time and attendance software?

A time and attendance system helps businesses track when employees start and end work. It combines hardware (like fingerprint scanners) and software (like apps or websites). Some systems use stand-alone devices at the workplace, while others are cloud-based, letting employees clock in from anywhere. They make tracking easier and more accurate.

Core features of time and attendance software

Essential capabilities of time and attendance software include:

  • Clock In/Out Functionality
    Allows employees to record start and end times easily—via desktop, mobile, or biometric devices—ensuring accurate tracking of work hours.
  • PTO and Leave Management
    Enables employees to request paid time off, sick leave, or vacation directly in the system, with built-in approval workflows and leave balances.
  • Timesheet Approval and Auditing
    Managers can review, approve, or reject timesheets, while the system keeps audit trails for compliance and accountability.
  • Alerts and Notifications
    Automated reminders for missed punches, overtime, leave approvals, or upcoming deadlines help keep both employees and managers informed.

How TMetric supports time and attendance tracking

Designed as a hybrid solution, TMetric combines time tracking and attendance in one intuitive platform. It's ideal for teams, remote companies, and service-based businesses that need accurate records without the complexity of traditional systems.

TMetric offers powerful features that go beyond basic time tracking to help you manage employee attendance with ease:

  • Clock-in/clock-out functionality
  • Automated timesheets
  • PTO tracking
  • Real-time activity monitoring

Get a clear view of team availability and work presence, along with accurate time management! Try TMetric for free today!

Time Off Calendar

Frequently asked questions

Why is tracking employee attendance important for small businesses?

Tracking employee attendance is important for small businesses because it ensures accurate payroll, improves productivity, and helps manage limited resources effectively. It reduces time theft, supports legal compliance, and promotes accountability.

Can a time and attendance system reduce employee absenteeism?

Yes, a time and attendance system can help reduce employee absenteeism by increasing transparency, promoting accountability, and providing real-time insights into attendance patterns.

Is biometric attendance tracking better than manual methods?

Yes, biometric attendance tracking is more accurate and secure than manual methods, reducing time theft and errors, though it may cost more and raise privacy concerns.

What are the legal requirements for employee attendance tracking?

Legal requirements for employee attendance tracking vary by country but often include:

  • Accurate records of hours worked, including start/end times and breaks
  • Overtime tracking and proper compensation
  • Retention of records (e.g., 2–4 years depending on local laws)
  • Compliance with labor laws
  • Privacy protection for collected data

Does TMetric support time-off and leave management?

Yes, TMetric supports time-off and leave management with features like customizable leave policies, easy time-off requests and approvals, a shared calendar to track absences, and detailed reports on leave balances.

Can TMetric replace a traditional time and attendance system?

Yes, TMetric can replace a traditional time and attendance system. It combines accurate clock-in/out tracking, leave management, timesheet approvals, and reporting, all in one. This makes it ideal for modern teams.

Is TMetric suitable for managing attendance in hybrid or remote teams?

Yes, TMetric is ideal for managing attendance in hybrid and remote teams. Its cloud-based platform allows employees to clock in/out from anywhere, track time on tasks, and request leave, all in real time, making it easy to monitor and manage distributed workforces.

Can managers approve timesheets and attendance data in TMetric?

Yes, TMetric lets managers review and approve timesheets and attendance data, with email notifications to keep everyone informed. This streamlines approvals and boosts accountability.

Is there a free trial for testing TMetric as a time and attendance solution?

Yes, TMetric offers a 14-day free trial with full access to all features. You can sign up on their website and start tracking time, invoicing, and managing projects without any charge. After the trial, you can choose a paid subscription you need.