Timesheet Tracking: 10 Reasons to Use It In Your Business | Day.io

10 Reasons Your Company Should Implement Real-Time Timesheet Tracking

Are you fed up with manually tracking your team’s time and battling inaccurate billing? Looking for ways to streamline operations and increase productivity? Timesheet tracking is the answer! 

In this article, we’ll uncover the top 10 reasons why timesheet tracking should be at the heart of your business, explore essential features that make a great timesheet tracker, and recommend an app that will help you manage workflow and take your company to the next level. 

Whether you’re a small business owner or project manager within a large corporation, read on to discover how online timesheet trackers can revolutionize your processes.

Throughout this article, we’ll cover:

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What is a Timesheet?

A timesheet is a document or software system that tracks an employee’s time on a task or project. It usually records the start and end times and any breaks taken throughout the day. Timesheets are used for payroll, invoicing, tracking productivity levels, and more. 

In short, timesheets make it easier to keep accurate records of how much time has been spent on various projects and tasks – essential for businesses that need to bill clients accurately. 

What are the Methods of Timesheet Tracking?

There are two main methods of timesheet tracking: manual and online. 

Manual Timesheets

Manual timesheets are the traditional approach to tracking employee time. They require employees to record their start and end times on a paper form or spreadsheet, which is then entered into the system for invoicing and payroll purposes. 

While this method is still widely used in some industries, it has its downsides – manual timesheets are prone to human error, can be time-consuming to complete, and there’s no real-time insight into project progress. 

Online Timesheets

Online timesheet tracking is the modern approach to time and attendance. Using an online timesheet tracker, employees can accurately log their hours on any device. 

With online timesheets, businesses gain complete visibility into employee time and project progress which helps to increase efficiency, accuracy, and productivity.

Top 10 Reasons to Implement Timesheet Tracking

Business owners and freelancers enjoy several advantages when they use timesheet tracking. Here are the top X benefits of this invaluable tool: 

1. Accurate Billing

One of the most fundamental benefits of timesheet tracking is the ability to bill clients accurately. By creating a comprehensive record of the time spent on each task, businesses can ensure that they charge clients for only what they’ve done. 

A timesheet provides a detailed breakdown of the hours spent on each task, allowing accurate invoicing and eliminating discrepancies between what was billed and what was worked. 

2. Recording Billable and Nonbillable Hours

A timesheet tracker allows businesses to differentiate between billable and nonbillable hours easily. This makes determining which tasks generate revenue easier, allowing them to focus their efforts on those that do. 

It also helps businesses identify potential waste or inefficiency areas – such as tasks that don’t generate income but take up too much time. With this information, they can make better decisions about how to allocate resources and maximize profitability. 

3. Better Time Management

Online timesheets help businesses stay organized and ensure that tasks are completed on time. By tracking the hours spent on each task, managers can identify bottlenecks and inefficiencies and pinpoint where resources should be allocated. 

They can also use this information to plan future projects more accurately and reduce project completion times. This improved visibility makes it easier for businesses to stick to schedules and maximize their productivity.

4. Project Tracking 

Real-time timesheet tracking allows businesses to track the progress of their projects more quickly. By monitoring how much time is spent on each task, managers can ensure they stay on schedule and within budget. 

They can also quickly identify any potential problems or delays before they become real issues and adjust accordingly. This helps businesses stay agile and ensures that projects are completed promptly.

5. Improved Productivity and Efficiency 

By tracking employee time in real time, businesses can identify areas for improvement and make appropriate changes. This helps them become more efficient and productive over time, reducing costs and increasing profitability. 

In addition, timesheet tracking makes it easier to manage remote teams. Managers can get a real-time view of each team member’s performance and provide timely feedback as needed. 

6. Employee Accountability 

Real-time timesheet tracking makes it easier to monitor employee performance and ensure that everyone is working efficiently. Managers can use the data to evaluate individual employees, identify any problems or areas of inefficiency, and take corrective action if necessary. 

This improves overall accountability and ensures all employees are accountable for their work. It also encourages better communication between managers and staff, which can help foster a more productive work environment. 

7. Reduced Human Error 

Manual timesheets are prone to errors, leading to inaccurate invoicing and incorrect payouts. With real-time timesheet tracking, businesses can minimize the risk of human error by automating processes such as payroll calculations and project tracking. 

Businesses find it easier to maintain accurate records and quickly resolve any discrepancies with the help of a timesheet tracker.

8. Visibility of the Workload 

A digital timesheet app gives businesses better visibility into their employees’ workloads. It makes it easier to identify areas where employees are overworked or not pulling their weight, allowing managers to adjust and ensure a fair distribution of tasks. 

Online timesheet tracker also provides valuable data for measuring employee performance and ensuring everyone works at an acceptable level. With the right timesheet tracker, businesses can keep a closer eye on their staff and make sure that they’re meeting expectations. 

9. Better Task Prioritization  

By monitoring the time spent on each task, managers can identify which ones are taking up too much time and adjust their priorities accordingly. They can use this information to ensure that more important tasks are completed quickly and efficiently while less urgent tasks take a back seat. This helps them maximize their efforts and ensure they hit deadlines without compromising quality. 

10. Enhanced Employee Engagement and Motivation

When employees know their efforts are tracked, they are more likely to stay motivated and engaged. This is because they know their hard work will be recognized and rewarded. This improved engagement can lead to better performance and higher productivity levels, resulting in increased profits for the business. 

3 Best Timesheet Tracking Software

We’ve checked out a few popular timesheet tracking apps, and here are our top picks. 

1. Day.io – Overall, the Best App for Timesheet Tracking

Day.io is our top pick for timesheet tracking because it is intuitive, intuitive, and comprehensive. It offers real-time data entry and monitoring features, task management tools, reporting capabilities, and project budgeting tools. 

The app also integrates with popular project management apps so users can easily track their tasks. And since Day.io stores all data in the cloud, it’s accessible from anywhere – making it an excellent tool for remote teams or those often on the go. 


  • Detailed timesheet for projects and tasks breakdown
  • Managing multiple tasks and projects for clients
  • Comprehensive project reports with profitability and cost analysis
  • Time tracking and real-time timesheet update 
  • Automated time clock with built-in fraud prevention measures
  • Extra hours and overtime calculation
  • Support for mobile platforms, desktops and kiosks


  • Attendance and time tracking: $4 per user/month
  • Project time tracking: $6 per user/month

2. Paymo – Invoice Manager and Online Timesheet Tracker

Paymo provides a feature-rich experience for tracking time and managing invoices. Users can easily create timesheets, assign tasks to team members, review productivity metrics, and generate custom reports. 

The app also allows users to access their data from any device by leveraging its secure cloud-based storage system. And it offers a range of billing options so that users can easily invoice clients for the work completed. 


  • Real-time tracking of time spent on tasks
  • Automatic and scheduled invoicing based on timesheets 
  • Generate custom reports and track productivity metrics 
  • Integration with popular project management apps such as Basecamp, Trello, Asana, and Slack 
  • Secure cloud-based storage system for easy access to data from any device


Starter plan: $5.95 per user/month

3. Beebole – Timesheet and Analytics App

Beebole is an analytics app that gives users insights into their team’s performance. It allows users to track time spent on tasks and projects, review productivity metrics, and better understand their teams’ work. 

The app also features various reporting tools so managers can quickly generate reports for team members or clients. And it integrates with popular accounting software such as Quickbooks, Xero, and Freshbooks – meaning that timesheet data can be quickly transferred for invoicing purposes. 


  • Detailed timesheet for projects and tasks breakdown 
  • Productivity tracking and analysis 
  • Integration with popular accounting software 
  • Reporting capabilities for team members or clients  
  • Real-time updates to ensure accuracy


€6.99 per user/month. 

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Wrap-up: Manage Your Workflow with Online Timesheet Tracker

Timesheet tracking makes it easier to manage your workflow and ensure accurate billing. With the right digital timesheet app, you can track employee hours, optimize productivity, and invoice accurately. 

Choosing the best app for timesheet tracking depends on the needs of your business. We recommend Day.io as the overall best on our list – its comprehensive features make it an ideal choice for companies looking to improve their time management processes. Don’t wait – switch to online timesheet tracking today with Day.io!