Why Your Business Needs to Invest in Time Tracking Software

No matter how small or large your business is, one tool that you don’t want to do business without is time tracking software. Using this technology, you can track time, billable hours, and have access to analytics and reporting. In turn, this increases productivity which will have a positive impact on your bottom line.

There are lots of good time tracking apps on the market. They differ mainly in their secondary features like billing, geo tracking, integrations and price. You should choose depending on industry and specific needs.

Time tracking is less about control than winning insights and cost control. Here are some examples of how your organization can best benefit from time tracking software.

See How Employees Are Spending Their Time

Tracking what your employees are doing throughout the workday doesn’t mean that their work is lacking or that you don’t trust them. The fact is, we all spend a portion of our day doing things that aren’t the best use of our time. It’s also not uncommon for people to concentrate on tasks that aren’t urgent, which means that we aren’t using our time as efficiently as possible.

By using a time tracking app, you can get a full picture of how and where your employees are spending their time. This information can be used to set task priorities.

You can also use data from time tracking software to make better business decisions. For example, if you find that employees are spending two hours a day checking email, you may find more effective ways to communicate that requires less time.

Avoid Being a Micro-Manager

No one likes a manager that randomly stops by their desk to see what they’re working on. With a quality time tracking tool, you’ll have the ability to take random screenshots of an employee’s screen to see exactly what they’re working on throughout the day.

Using time tracking software, you can:

  • Ensure employees are making progress on tasks
  • Eliminate the need for work reports
  • Put more time toward strategic planning

What’s nice about time tracking tools is that they run in the background and don’t impact an employee’s ability to get work done.

Determine the Time It Takes to Finish a Task

As a business, it’s important that you’re able to give correct estimates and quotes to clients. Whether you run a marketing company or one that designs websites, it’s crucial to know how much time it takes to build a social media marketing plan or the time it takes to create a wireframe for a new website.

By investing in time tracking software, you can keep track of the average amount of time it takes to complete certain tasks. The more accurate you are on your time estimates, the more orders you can expect to get.

Accurately Bill Clients

By billing clients for the actual amount of work that is done, you can save money. The fact is that there are no two clients that have the same needs. One project may take three hours while another may take five. This means that in some instances, you may need to spend more time in order to provide quality services.

Clients aren’t always accepting of higher bill rates. Most will want a justification as to why they’re being charged more than what was previously agreed upon.

By having a time tracking app, you can keep a close track of all billable time, down to the minutes and seconds. While an extra 20 or 30 minutes may not seem like a big deal, over the months this time can really add up. If this time isn’t billed for, you may lose hundreds, possibly thousands of dollars.

Integrate with Other Business Processes

Time tracking software can be integrated with a host of other business processes. For example, you can integrate the data from your time tracking app into your payroll system. This cuts costs, automates processes, and ensures that employees are getting paid the right amount based on their hours worked during a pay period.

This software can also help to improve business planning and budgeting. Using data from your time tracker application, you can have more insight and reliable data when providing work quotes and estimates. This information is also beneficial when setting project timelines.

In terms of your workforce, this data can be used to track your employees’ productivity, efficiency, and performance. With this information, you can determine which employees should be given new responsibilities and which ones may be ready to become a manager or team leader.

Time tracking data can even be used to determine which employees are most worthy of a promotion.


On the surface, time tracking software may not seem like it offers many benefits. But investing in a time tracking app can make a huge difference in business operations and the overall productivity of your workforce. Keep these benefits in mind when deciding on which tools your business needs to do and be better.