Tracking time and expense data is essential for organizations that need to measure costs on projects, bill their customers and pay their employees. For small businesses, this is even more crucial, as you need to spend every profitable dollar on trying to grow your business.
When you’re starting out, the two most readily available options for tracking time and expense data are Excel and Paper – which are both free, and will work great when you have less than 5 or 10 people. But there’s a point when you start to outgrow those solutions.
There are 5 big indicators that you’re starting to outgrow Excel or paper timesheets:
- Your timesheets are inaccurate because you can’t continuously update them with the correct data (projects, tasks, etc).
- Employees hide when you go on the weekly hunt for timesheets that have not been emailed or turned in to you.
- You’re spending way too much time correcting bad data/errors on timesheets.
- Entering time and expense data into your accounting and payroll systems is not only time-consuming, but results in inevitable inaccuracies (which causes BIG problems).
- You’re buried under a mountain of expense receipts, and having a hard time keeping track of and archiving them.
How much is the “free” option REALLY costing you?
When you’re a small business, the “free” option always looks like a great solution. But as you grow, those free options end up costing you more than finding a solution to help you solve the problems they create.
That’s right. All of these issues will end up costing you money – in the form of wasted time, inaccurate billing, and over-budget projects. Implementing time and expense tracking software that solves these issues will save you time and money – which you need to grow your business.
What’s the ROI of a Time Tracking System?
If you’re able to quantify the time and money spent and lost when it comes to time tracking for billing, payroll, and projects, you can easily determine your ROI from a time tracking software solution. I could go into the math here, but you may find it easier to use these calculators:
Using these calculators, you’ll be able to see how much you can save by moving to a more automated time tracking solution. Plus, you’ll have less headaches when you don’t have to deal with the issues described above! The only thing employees will be hiding from is the fruitcake you’ll be making during all that extra time you have.
If you’ve outgrown your current system of tracking time, there’s no better time than the present to move to an improved time tracking system. You could be realizing savings in overhead cost, payroll time, and non-billable hours.