Strategic Consulting Solutions, Inc.

Best Features of a GovCon Compliant Timekeeping System

There are many electronic timekeeping systems that advertise that they can support government contractors. The truth is, many can, but many also require customization. So what should you look for when shopping for a timekeeping system? We recommend a system that can handle the four basic compliance rules for a government contractor, then we recommend looking for other features that can improve your internal process and reporting.

Four Basic Compliance Areas

  1. Audit Trails – The system should be able to track any changes made to a saved timesheet. If an employee makes a change to their timesheet, it should require an explanation that can be viewed by their supervisor and the administrator.
  2. Future Charging – Controls should be in place to prevent employees from charging to a productive charge code in advance of working. However, it should allow employees to charge to codes, like vacation or holiday, in advance. For example, if today is Monday and I plan to be off Friday, then I can input my time off for Friday, but I cannot input the hours worked Tuesday through Thursday.
  3. Charge Code Restrictions – Most systems should restrict access to charge codes. The system should allow for a workforce of employees to only see charge codes that they are allowed to charge to.
  4. Approvals – The timesheet must allow the employees to sign their timesheet, certifying that the hours are correct. It should also allow the supervisor to review and approve the timesheet.  This is part of the audit trail.

Internal Process and Reporting

Timekeeping Software

While DCAA may not focus too heavily on how the timekeeping software interfaces to your accounting system, this should still be a consideration in your purchase. You want something that can import the labor into your accounting system. Depending on the software, you may choose to value the labor with the import. You may also chose to send this information to a third-party payroll provider.

Timesheet Status

The ability to view the status of employees’ timesheets and send reminders to employees with delinquent timesheets is a desirable feature. Not only does this allow supervisors and administrators to monitor timesheet status and notify others as to the status, but it’s also very helpful in DCAA Floorchecks. Many systems will have a feature that will automatically generate these notifications.

Reporting Capabilities

Reporting capabilities may be a consideration in your software search. Depending on your accounting package, you may want a timekeeping software that will provide reports such as labor distribution and/or billing reports. This may also assist with project management reporting.

Making Final Decisions on Timekeeping Software

When it comes to making a decision on your timekeeping system, first make sure the software can handle the four basic compliance areas mentioned above. Then, look to see how much it will improve your internal processes and reporting.

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