Timesheet

What Is a Timesheet?

A timesheet is a document or digital record that captures an employee's work hours over a specific period. It serves as the official record of when an employee worked, forming the basis for payroll calculation and compliance documentation.

Timesheets can take many forms:

• Paper timesheets: Physical forms filled out manually
• Digital spreadsheets: Excel or Google Sheets templates
• Time tracking software: Dedicated systems that generate timesheet reports
• Integrated HR systems: Combined timekeeping and payroll platforms

Regardless of format, the timesheet's purpose is the same: to accurately document hours worked for compensation and compliance purposes.

California Timesheet Requirements

California Labor Code Section 1174 requires employers to maintain accurate records of hours worked by non-exempt employees. While the law doesn't mandate a specific format, timesheets must capture certain information.

Required Information

Data Element	Description	California Requirement
Employee identification	Name, employee ID	Labor Code 1174(d)
Time period	Dates covered by timesheet	Labor Code 1174(d)
Daily hours worked	Hours per workday	Labor Code 1174(d)
Start and end times	When work began and ended	Labor Code 1174(d)
Meal periods	When meal breaks were taken	Labor Code 512
Total hours	Sum of all hours worked	Labor Code 1174(d)

Additional Recommended Information

While not strictly required, including these elements improves compliance:

• Rest break acknowledgment
• Overtime hours (separated by rate)
• Department or cost center
• Job codes or project allocation
• Supervisor approval
• Employee signature/certification

Types of Timesheets

Paper Timesheets

Traditional forms where employees manually write their hours.

Typical format:

Day	Date	Start	Meal Out	Meal In	End	Total Hours
Mon	1/6	8:00	12:00	12:30	5:00	8.5
Tue	1/7	8:00	12:00	12:30	5:00	8.5
Wed	1/8	8:00	12:00	12:30	5:00	8.5

Advantages:

• No technology required
• Simple to understand
• Works in any environment

Disadvantages:

• Prone to errors and illegibility
• Easy to falsify
• Manual data entry for payroll
• Difficult to audit
• Paper storage requirements

Spreadsheet Timesheets

Digital templates using Excel, Google Sheets, or similar tools.

Advantages:

• Automatic calculations
• Easy to copy and distribute
• Digital storage
• Can include formulas for overtime

Disadvantages:

• Still relies on manual entry
• Version control challenges
• No real-time visibility
• Can be modified without audit trail

Time Clock-Generated Timesheets

Reports produced from time clock systems.

Advantages:

• Data captured at point of clock-in/clock-out
• Automatic calculations
• Strong audit trail
• Real-time reporting
• Integration with payroll

Disadvantages:

• Requires technology investment
• System downtime impacts recording
• May need backup procedures

Mobile App Timesheets

Smartphone-based time tracking applications.

Advantages:

• Ideal for remote and field workers
• GPS verification possible
• Real-time data capture
• Often includes photo verification

Disadvantages:

• Requires smartphone access
• Battery and connectivity issues
• Learning curve for some employees

Timesheet Best Practices

For Employers

Design for Compliance

Ensure timesheets capture all required California information:

1. Daily hours: Track hours per workday, not just weekly totals
2. Meal periods: Record start and end times (cannot be rounded)
3. Overtime separation: Distinguish regular, overtime, and double time
4. Weekly totals: Calculate for weekly overtime compliance

Implement Approval Workflows

Step	Responsible Party	Purpose
Daily entry	Employee	Capture actual times
Weekly review	Employee	Verify accuracy
Supervisor approval	Manager	Confirm and approve
Payroll processing	Payroll	Calculate compensation
Record retention	HR/Payroll	Maintain for compliance

Establish Clear Deadlines

Pay Period	Timesheet Deadline	Processing Window
Weekly	End of Friday	2-3 days
Bi-weekly	Monday after period ends	3-5 days
Semi-monthly	1st and 16th (previous period)	3-5 days

Train Employees

Ensure all workers understand:

• How to complete timesheets accurately
• When timesheets are due
• How to correct errors
• Consequences of falsification

For Employees

Record Time Accurately

• Enter actual start and end times, not scheduled times
• Record meal periods when they actually occur
• Don't round or estimate hours
• Note any unusual circumstances

Review Before Submitting

Check for:

• Correct dates
• Accurate hours
• Proper meal period recording
• Overtime identification
• Mathematical accuracy

Keep Personal Records

• Maintain your own copy of submitted timesheets
• Note any discrepancies or concerns
• Document any time worked off the clock

Timesheet Compliance Issues

Common Errors

Error	Impact	Prevention
Missing punch times	Incomplete records	Require all fields before submission
Rounded meal periods	Compliance violation post-Donohue	Record exact meal times
Estimated hours	Inaccurate pay	Real-time time clock capture
Late submission	Delayed pay	Automated reminders, accountability
Supervisor not reviewing	Errors not caught	Mandatory approval workflow

Falsification

Timesheet falsification is a serious issue:

Employee falsification:

• Adding hours not worked
• Buddy punching
• Claiming meal breaks not taken
• Inflating project/billable hours

Manager falsification:

• Shaving employee hours
• Removing overtime hours
• Backdating changes
• Approving known inaccuracies

Both constitute time theft or wage theft and can result in termination, legal liability, and in extreme cases, criminal charges.

Ensuring Accuracy

Technology controls:

• Biometric verification
• GPS/geolocation
• Photo capture
• IP address logging
• Audit trails for changes

Process controls:

• Supervisor verification
• Comparison to schedules
• Anomaly flagging
• Regular audits
• Employee certification

Timesheet Retention Requirements

California law requires retention of time records for compliance verification:

Record Type	Minimum Retention	Best Practice
Timesheets	3 years	4+ years
Payroll records	3 years	4+ years
Wage statements	3 years	4+ years

Storage considerations:

• Secure physical storage or encrypted digital storage
• Organized for easy retrieval
• Protection from damage or loss
• Accessible for audits or legal proceedings

Timesheets and Overtime Calculation

Accurate timesheets are essential for California overtime compliance:

Daily Overtime Tracking

Timesheets must clearly show hours per workday to calculate:

Hours Worked	Pay Rate
0-8 hours	Regular rate
8.01-12 hours	1.5x (overtime)
Over 12 hours	2x (double time)

Sample daily timesheet:

Date	Start	Meal	End	Regular	OT (1.5x)	DT (2x)
Mon	6:00 AM	12:00-12:30	6:30 PM	8.0	4.0	0
Tue	6:00 AM	11:30-12:00	7:00 PM	8.0	4.0	0.5
Wed	7:00 AM	12:00-12:30	3:30 PM	8.0	0	0

Weekly Overtime Tracking

Timesheets must also enable weekly overtime calculation:

Week Total	Pay Rate
0-40 hours	Regular rate
Over 40 hours	1.5x (unless daily OT already applied)

Note: An hour cannot be paid twice as overtime. If it qualifies as daily overtime, it's not also counted as weekly overtime.

Seventh Day Rules

Track consecutive days worked to identify seventh day overtime:

Day of Workweek	Rate for First 8 Hours	Rate Over 8 Hours
Days 1-6	Regular/daily OT rules	Daily OT rules
Day 7	1.5x	2x

Timesheet Integration with Payroll

Data Flow

Timesheet → Approval → Payroll System → Calculation → Payment → Wage Statement

Key Integration Points

Step	Data Transferred	Verification
Time capture	Clock times, breaks	Employee confirmation
Approval	Hours reviewed, approved	Manager sign-off
Payroll import	Hours by type (regular, OT)	System validation
Calculation	Pay rates applied	Accuracy check
Output	Paychecks, deposits	Employee review

Common Integration Issues

Data mapping errors:

• Overtime hours coded as regular
• Wrong pay rates applied
• Missing hours in transfer

Timing issues:

• Late timesheets delay pay
• Cutoff dates misaligned
• Corrections processed late

Prevention:

• Automated data transfer
• Validation rules
• Exception reporting
• Reconciliation processes

Mobile and Remote Work Timesheets

Challenges for Distributed Workforces

Challenge	Solution
No physical time clock	Mobile app or web-based clock-in
Verification of work	GPS, activity tracking, output measurement
Multiple locations	Location-aware time tracking
Different time zones	System handles time zone conversion
Connectivity issues	Offline capability with sync

Best Practices for Remote Timesheets

1. Use technology: Mobile apps with verification features
2. Define work hours: Clear expectations for remote schedules
3. Trust but verify: Focus on output alongside time tracking
4. Regular communication: Check-ins to verify engagement
5. Clear policies: Document remote work timekeeping requirements

Industry-Specific Timesheet Considerations

Healthcare

• 12-hour shift tracking
• Alternative workweek schedule documentation
• Patient care vs. administrative time
• On-call hours
• Multiple facility/department allocation

Construction

• Job site/project allocation
• Prevailing wage documentation
• Travel time tracking
• Multiple craft/classification rates
• Union reporting requirements

Retail and Hospitality

• Variable shift scheduling
• Split shift documentation
• Multiple location work
• Tip reporting integration
• Reporting time pay triggers

Professional Services

• Client/matter/project time
• Billable vs. non-billable hours
• Multiple rate applications
• Budget tracking
• Utilization reporting

Auditing Timesheets

Regular Audit Practices

Conduct periodic reviews to ensure compliance:

Daily quick checks:

• Missing punches
• Meal period compliance
• Overtime thresholds

Weekly reviews:

• Timesheet completeness
• Unusual patterns
• Weekly overtime calculation

Monthly audits:

• Sample of employee timesheets
• Cross-reference with schedules
• Verify calculations

Annual comprehensive review:

• Compliance with all California requirements
• Policy effectiveness assessment
• System accuracy verification

Red Flags to Watch

Red Flag	Potential Issue
Identical times every day	Estimated rather than actual
Always exactly 30-minute meals	May not reflect actual breaks
Consistent overtime patterns	May be inflated or scheduling issue
Frequent corrections	Accuracy problems or manipulation
Many missed punches	Training or system issue

The Bottom Line

Timesheets are more than administrative paperwork—they're legal documents that form the basis for employee compensation and California labor law compliance. Whether you use paper forms, spreadsheets, or sophisticated time tracking software, the fundamental requirement is the same: accurate documentation of hours worked.

Invest in systems and processes that make accurate timekeeping easy for employees and verifiable for managers. Train your workforce on proper timesheet completion, implement approval workflows, and conduct regular audits. When issues arise, address them promptly to maintain the integrity of your time records.

Well-maintained timesheets protect both employers and employees, ensuring workers are paid correctly and employers have documentation to demonstrate compliance. In California's complex wage and hour environment, accurate timekeeping isn't optional—it's essential.