Common Time Tracking Errors and How to Avoid Them

In most small and medium sized businesses, time tracking errors do not look like errors at first. They appear as small exceptions. A shift that runs longer than planned. A missed clock in that gets corrected later. A spreadsheet that needs one more adjustment.

On their own, these moments seem harmless. Together, they create rework, frustration, and unnecessary admin. Studies from Eurostat and the European Commission show that administrative workload in SMEs grows faster than headcount, especially in HR, payroll, and compliance. Repetitive corrections are one of the biggest time drains.

This article looks at common time tracking errors through everyday SME situations and explains how to avoid them.

Error 1: Recording planned hours instead of actual hours

What it looks like in practice

A retail business creates weekly schedules in advance. At the end of the month, these schedules are copied into payroll as worked hours. In reality, employees often stay late to finish stock counts or cover busy periods.

Why it causes problems

Extra minutes and hours are missing from the records. Over time, payroll becomes inaccurate and compliance records unreliable. In many regions, including the EU, labor laws require recording actual hours worked, not planned hours.

How to avoid it

Separate planning from recording. Schedules support the work, but they should never replace recording what actually happened. Record hours as they occur.

Error 2: Filling in hours from memory

What it looks like in practice

In a small construction company, employees submit timesheets at the end of the week. By then, start and end times are often estimated.

Why it causes problems

Estimates create small inaccuracies that add up. Admin teams spend time clarifying entries and correcting errors. Delayed manual reporting significantly increases rework.

How to avoid it

Encourage same day or real time recording. The closer the entry is to the work itself, the more accurate it will be. With TimeMoto Cloud, attendance is recorded in real time.

Error 3: Multiple versions of the same information

What it looks like in practice

An SME tracks hours in Excel, holiday requests by email, and overtime approvals in a shared folder. HR reconciles everything at month end.

Why it causes problems

Conflicting versions create confusion and manual checks. EU OSHA highlights fragmented processes as a common source of avoidable workload in SMEs.

How to avoid it

Define one central place for working time records. Other tools may support the process, but they should not duplicate the data.

Error 4: Manual corrections without context

What it looks like in practice

An HR administrator edits a timesheet because an employee forgot to clock out. The change is made quietly. Later, the employee questions the difference.

Why it causes problems

Unclear corrections create doubt and mistrust. During audits, it becomes difficult to see what was changed and when.

How to avoid it

Make corrections visible and traceable. It should always be clear what changed, who made the change, and when. In TimeMoto Cloud, all changes are logged and auditable, reducing follow up questions and building trust.

Error 5: Unclear rules about working time

What it looks like in practice

Employees are unsure whether travel between client locations counts as working time. Some record it, others do not.

Why it causes problems

Different interpretations lead to inconsistent records and repeated questions. CIPD guidance highlights unclear rules as a major source of HR queries.

How to avoid it

Document clear rules and review them when work patterns change. Include them in onboarding.

Error 6: Time tracking seen as an HR task only

What it looks like in practice

Employees submit timesheets late, managers approve them quickly, and HR fixes the issues afterward.

Why it causes problems

Errors are discovered late, when they take more time and effort to correct.

How to avoid it

Share responsibility. Employees record their time. Managers review it. HR ensures consistency.

Error 7: Processes that do not grow with the business

What it looks like in practice

A startup uses a simple spreadsheet with six employees. Two years later, with 25 staff, the same process remains.

Why it causes problems

What once worked now causes delays and errors. EU studies show administrative complexity grows faster than headcount when processes are not reviewed.

How to avoid it

Review time tracking processes regularly, especially during growth or organizational change.

Conclusion

Time tracking errors are rarely dramatic. They are small, repeated, and familiar. But over time, they create extra work, slow payroll, and undermine trust.

By recognizing these situations early, you can reduce rework, improve accuracy, and free up time for more valuable work.

Find out more

Many time tracking issues come from missing structure and visibility. TimeMoto Cloud helps SMEs centralize time tracking, record hours in real time, and keep changes traceable in one system. Try it free at www.timemoto.com/free-trial.