Time Tracking for Small Businesses: The 7 Best Time Tracking Tools

1. Why do small businesses have to record working hours?
2. What does the current time recording law 2023 look like?
3. Through which ways is time tracking possible?
4. What features and advantages does a time recording software have for small businesses?
5. The 7 best software for small businesses
6. Conclusion

With the amendment of some laws concerning time tracking, the question arises as to how time tracking now works in compliance with the law. In this article, we delve into the current legal regulations and show you the different possibilities for time tracking and the advantages that a software also offers for small businesses. We then introduce you to the best software with which you can implement time tracking in your small business efficiently and in compliance with the law.

Why do small businesses have to record working hours?

The Time tracking is mandatory for companies in Germany and thus also applies to small businesses. It serves to protect employees by ensuring that the maximum permissible working time is not exceeded and that sufficient rest periods between working days are maintained. Small businesses are obligated to introduce a time tracking system that allows employees to accurately record their working time. The time tracking system can be chosen freely.

What does the current time recording law 2023 look like?

The current time recording law for the year 2023 is based on various legal bases and judgments. Here are the relevant laws and judgments that affect working time recording:

1. Judgment of the European Court of Justice (ECJ) from May 14, 2019 (ECJ Rs. 55/18 CCOO): According to the ECJ's ruling, employers are obliged to systematically record the entire working time of their employees. This decision by the ECJ is intended to improve occupational safety and reduce excessive working hours.

2. Judgment of the Federal Labour Court (BAG) from September 13, 2022 (file number: 1 ABR 22/21): The BAG has ruled that employers are expressly obliged to transparently and completely document working hours in a time recording system.

3. Occupational Safety Act (ArbSchG): According to § 3, para. 2 no. 1 of the ArbSchG, employers are legally obliged to introduce a system with which employees' working hours can be recorded. This provision must be interpreted in line with EU law, i.e., it must comply with EU legal requirements, especially the EU Working Time Directive.

For time recording in small businesses with up to 10 employees, paper-based recording is still possible. All other companies have one to five years to switch to electronic time recording, depending on the number of employees.

Through which ways is time tracking possible?

There are different ways of time tracking in small businesses, ranging from traditional paper-based methods to modern digital solutions. Here are some of the common methods of time tracking:

1. Hourly timesheets:

Employees manually record their working hours on a timesheet.

Advantages: Simple and cost-effective.

Disadvantages: Prone to errors and manipulation, time-consuming in evaluation.

2. Electronic time tracking:

Use of hardware devices such as time recording terminals, RFID cards, or barcode scanners.

Employees record their working hours by clocking in and out, or by scanning their cards.

Advantages: More accurate recording, fewer mistakes, automatic evaluation of data.

Disadvantages: Acquisition costs for the hardware, limited flexibility.

3. Web-based or mobile applications:

Employees use web-based or mobile applications, to record their working hours. Time tracking can be done via smartphones, tablets, or PCs.

Advantages: Flexibility, ease of use, real-time data, automatic evaluation.

Disadvantages: Requires a good internet connection, data protection aspects must be taken into account.

It is important to note that the choice of time recording method depends on the individual needs and requirements of the company.

What features and advantages does a time recording software have for small businesses?

• Working hours recording: The software allows automatic and accurate recording of the employees' working hours.
• Holiday planning: Employees can submit their holiday applications in the software. The software helps to coordinate and monitor available holiday days.
• Overtime management: The software automatically captures and monitors overtime.
• Project management: Assigning working hours to individual projects. This allows precise recording of project times and aids in resource planning and monitoring of project progress.
• Report creation: The software generates detailed reports on the recorded working hours and overtime. These reports provide a comprehensive overview of the working time data and can be used for invoicing, payroll accounting, or analysis of work patterns.

A time recording software offers various advantages to small businesses:

• Efficiency increase: Operational efficiency can be improved by reducing manual workflows and increasing the accuracy of time recording. This is also true for payroll accounting.

• Time saving: The automated work time recording saves manual recording.

• Transparency: A clear overview of the employees' working hours helps to identify overtime or absences and take countermeasures.

• Better planning: Work time data can be used to distribute tasks more efficiently and optimize resource planning.

• Legal certainty: A time recording software helps companies comply with legal regulations and standards, especially in the area of working time regulations, and minimize potential legal risks.

The 7 best software for small businesses

1. clockin

2. Crewmeister

3. TimeTac

4. Clockify

5. Ordio

6. ZEP

7. Sawayo

1. clockin

clockin on OMR Reviews

clockin is a user-friendly time recording software that helps companies accurately document their employees' working hours. The software can be flexibly adjusted to the individual needs of the company and is suitable for both office and field work. clockin itself advertises as being the simplest app that even non-technical people can use right away. Actually, the easy handling is one of the benefits that OMR reviewers often mention. 

clockin features

• Employee management: digital personnel file, create work schedules for employees.
• Time recording: recording working hours via various channels such as app, browser and time recording terminal.

• Export of time sheets: Export employees' time sheets as Excel or CSV file for payroll accounting.
• Project time recording: Capture the working time according to projects, adding photos, sketches, and notes for project documentation and team communication.
• Analysis: Evaluation of the captured data to recognize trends and patterns.
• Dashboard: Overview for management, in which all information captured with clockin flows together.
• Interfaces: Interfaces for easy invoicing.

clockin prices

clockin offers three packages: Digital punch clock for 3.59 €, project time recording for 6.29 € and time recording & documentation for 8.99 €. The prices listed are per license/month for 10 licenses with a term of 24 months. If project work is a big topic, the medium package Project Time Recording is the right choice. Notes, checklists, sketches etc. are only included in the largest package.

For more information on clockin prices and user reviews, see OMR Reviews.

clockin alternatives

Alternatives to clockin and user reviews can be found on OMR Reviews.

2. Crewmeister

Crewmeister on OMR Reviews

Crewmeister describes itself as an all-inclusive package made up of three main elements: time tracking, shift planning and holiday management. With the automated time recording, Crewmeister allows precise recording of working hours. The recording can be done via various devices such as smartphones, tablets, PCs or terminals. The recording also works with GPS data and can additionally be assigned to individual customers or tasks. The shift planner allows employees' capacity to be better controlled, which has a positive effect on efficiency and productivity. Thanks to the holiday planner, employees can quickly and easily submit and approve holiday requests.

Crewmeister features

• Time recording: Automated time recording via smartphone, tablet or PC, also offline and project time recording with GPS location recording.
• Shift planner: Simplified personnel planning with shift templates for recurring shifts. Employees are automatically informed about the shifts assigned to them. Absences and holidays are also automatically noted in the shift planner.
• Holiday planner: Management of holiday applications and monitoring of remaining leave.
• Payroll accounting: Easily export all data for payroll accounting or subsequent calculation.

Crewmeister prices

Crewmeister starts at 1.50 € per employee. There are three price packages: Time recording for 11.90 € per month, Time recording & Holiday planner for 18.90 € per month and Time recording, Holiday planner & Shift planner for 28.80 € per month. The prices mentioned apply to all employees for businesses with up to five employees with monthly payment. Additional functions can also be booked for an extra charge, e.g. Time recording Plus for extended project time recording and additional terminal options for 10 € per month. 

For more information on Crewmeister prices and user reviews, see OMR Reviews. 

Crewmeister alternatives

Alternatives to Crewmeister and user reviews can be found on OMR Reviews.

3. TimeTac

TimeTac on OMR Reviews

TimeTac is a flexible time recording software that is suitable for both medium and large companies. It allows users to easily record and manage working hours, project times, holiday and absence times. The cloud-based system can be used on all devices, whether PC/Mac, smartphone, tablet or time tracking terminal. All recorded data is collected centrally. The software consists of various modules, which can be used individually or in combination. Each module is activated and licensed per user.

TimeTac features

• Management of different working time models: It is possible to define and manage different working time models with target hours, surcharge rates and core times.
• Export to payroll accounting: The recorded data can be downloaded as an Excel, PDF, or CSV file or exported via interfaces/API.
• Live status overview: Real-time overview of employees' presence, including breaks and activities.
• Various evaluation options: Filter and evaluate working hours by employees, departments or tasks.
• Project time recording: Record times specifically for a project and its tasks and generate project reports from them.
• Integration with other systems: Numerous interfaces to other systems such as ERP, CRM, project management and accounting. Through the TimeTac API, any applications can access TimeTac.
• Personnel planning: Plan personnel on a daily, weekly or monthly basis. In the planning view, you can see which employees are available or absent on a certain day.
• Holiday management: Employees can easily submit holiday applications online and supervisors can quickly approve or reject them.
• Substitute rules: With TimeTac, substitute rules can be defined to ensure that work continues smoothly even during the absence of employees.
  

TimeTac prices

TimeTac offers three modules that can be activated per user: Working time recording for 4.00 €, Project time recording for 8.00 € and Holiday management for 2.50 €. The prices apply for monthly use per user with annual payment. There is an additional basic fee of 16.50 € for the technical operation, maintenance, ongoing updates and support.

For more information on TimeTac prices and user reviews, see OMR Reviews.

TimeTac alternatives

Alternatives to TimeTac and user reviews can be found at OMR Reviews.

4. Clockify

Clockify on OMR Reviews

Clockify is a free time recording software that is used by millions of people. With Clockify, working hours can be recorded, working hour tables managed and project progress monitored. Working hours can be recorded across projects. Clockify is free, without project and access restrictions. It is suitable for teams of any size and also allows invoicing to customers.

Clockify features

• Time recording system: Time can either be recorded by starting and stopping a timer during work or by manually entering the hours. Time recording can be done via the desktop or via an app.

• Work hour table: With the work hour table, users can manage and view their recorded work hours.

• Kiosk mode: With the kiosk mode, a common device can be used for clocking in.

• Calendar integration: The recording of working hours is made even simpler.

• Apps and Integrations: Clockify offers apps for various platforms and over 80 integrations with other tools and software solutions, such as Trello or Asana.

• Dashboard: The dashboard provides an overview of the recorded working hours and allows you to track key figures.

• Reports: Creation of detailed reports about the recorded working hours, which can be used for analysis and billing.

Clockify prices

Clockify is free of charge, but also offers four paid plans: Basic/Administration for 3.99 €, Standard/Timesheets & Billing for 5.49 €, Pro/Productivity & Profit for 7.99 € and Enterprise/Control & Security for 11.99 €. The prices apply monthly per user with annual payment. Timesheet, calendar, apps etc. are included in the free variant. Advanced features such as GPS tracking, budget and planning, and approvals are included in the paid versions.

For more information on Clockify prices  and user reviews, see OMR Reviews. 

Clockify alternatives

Alternatives to Clockify and user reviews can be found on OMR Reviews.

5. Ordio

Ordio on OMR Reviews

Ordio is a cloud-based shift planning software that facilitates personnel management in companies. With Ordio, working hours can be recorded, shift plans created and digital personnel files securely managed. Automated checklists simplify workflows and ensure that no task is forgotten. The flexible pricing model of Ordio adapts to the individual needs of the companies.

Ordio functions

• Shift plan: Flexible and intelligent shift plan that involves employees and enables transparent planning for companies of any size and industry.

• Personnel file: Central storage of all important personnel documents in a digital personnel file, easy management of basic data to payroll accounting and online access to personnel information at any time.

• Time recording: With a personal app or a shared terminal tablet app, employees can record their working hours to the minute, either through GPS check-in within a certain area or at a terminal with PIN and photo identity verification.

• Availability: Central management of absences and querying availabilities. Employees submit their absences themselves.

• Document management: Integration of individually needed documents seamlessly into workflows, and automated query cycles ensure that relevant documents are always available.

• Procurement: Employees can order goods from various dealers via the Ordio Supply app.

• Checklists: Easily manage and evaluate tasks and link them directly to shifts.

Ordio prices

Ordio offers three plans: Starter for 39 €, Plus for 79 € and Pro for 99 €. Unlike the other tools, the prices apply for use per location. The prices listed here are incurred monthly, with annual billing. In the Starter version, neither time recording nor shift planning is present. Therefore, at least the Plus plan is necessary for time recording. Ordio also offers additional features regardless of the plan, such as flexible locations for shifts.

For more information on Ordio prices and user reviews, see OMR Reviews.

Ordio alternatives

Alternatives to Ordio and user reviews can be found on OMR Reviews.

6. ZEP

ZEP on OMR Reviews

ZEP is a software solution for working hours, project times and project management. The software is modular and offers various products: ZEP Clock for pure time recording, ZEP Compact for project time recording and ZEP Professional for digitizing operational project business. ZEP also offers flexible extensions and additional modules to implement individual requirements.

ZEP features

• Time recording: Comprehensive and accurate time recording with integrated break regulations.

• Export: Export and evaluation of data in different file formats such as PDF, Word or OpenOffice.

• Cloud solution: ZEP is a cloud-based solution that works without installation on local devices.

• Mini job time recording: Recording of the working hours of marginally employed employees according to the requirements of the Minimum Wage Act, including legally compliant documentation.

• Project time recording: Project time recording with detailed recording, marking of billable and non-billable times, restriction of booking to certain projects and various customization options.

• Data management: Simple management of employee as well as customer data.

• Project management: Detailed project management and project controlling with various possibilities for creating and exporting reports.

• Travel expenses accounting: Recording and accounting of travel times, additional meal expenses (AME), kilometer allowances and other receipts, including the option to pass on travel expenses.

• Price management: Management of price groups, customer- and project-specific price tables as well as recording of vouchers for external costs in project management.

ZEP prices

ZEP Clock starts at 1.50 €, ZEP Compact at 8.00 € and ZEP Professional at 20.00 € per month per user. The prices for additional modules such as the Personio interface or document management vary additionally depending on the plan.

For more information on ZEP prices and user reviews, see OMR Reviews.

ZEP alternatives

Alternatives to ZEP and user reviews can be found on OMR Reviews.

7. Sawayo

Sawayo on OMR Reviews

Sawayo is a comprehensive solution that helps companies digitally comply with their employer obligations. With this software, companies can record their employees' working hours in compliance with the law, manage the absence management, manage signature lists and keep an overview of licenses. Sawayo also allows the management of digital personnel files. The software simplifies administrative effort, provides clear evidence and helps companies meet their compliance requirements.

Sawayo features

• Time recording: Legal time recording, free and flexible adaptation. Employees can easily record their working hours via app, browser, or terminal and archiving is revision-proof.

• Absence management: Efficient absence management due to quick holiday requests, automatic holiday calculation, and transparent approval processes.

• Document management: Easy distribution of documents for signature, status monitoring, and automatic notifications.

• License management: Automated control of licenses, certificates and proof to reduce liability risks and simplify management.

• Compliance notifications: Easy setup and legally secure reporting path for compliance indications.

Sawayo prices

Sawayo offers a total of four plans. The Free plan is free and includes legal time recording, digital document management, and absence management. The Basic plan costs 3.79 € and also includes target time recording, absence calendar and 5 Read&Sign documents per month. The Business plan is available for 5.79 € and includes all features of the Basic plan plus change histories, hour-based absence management and unlimited Read&Sign documents. The Enterprise plan costs 8.79 € and offers advanced features such as unlimited locations and permission groups, expanded security and control options as well as a personal account manager. All prices are per user and month with annual payment.

For more information on Sawayo prices and user reviews, see OMR Reviews.

Sawayo alternatives

Alternatives to Sawayo and user reviews can be found on OMR Reviews.

Conclusion

Time recording is also mandatory for small businesses. Although the form is free to choose for less than 10 employees, tools offer some advantages. By using time recording software, such as MyTimeTracker small businesses can optimize their business processes, save time, increase transparency, better plan resources and ensure legal certainty. The investment in some of the presented tools is very low and fits into small budgets.