This article was originally published in 2016. Some rules, rates or tools mentioned may have changed since — contact us for current guidance.
Finding and retaining great people is something all small business owners spend a lot of time doing, so staying on top of ever-changing labor regulations is important, both for employee retention as well as for labor law compliance. Xero and TSheets have amped up our partnership to help small business owners avoid the regulatory challenges associated with changes to the Fair Labor Standards Act (FLSA).
Under the FLSA employers are required to keep accurate timesheets for overtime-eligible employees for at least two years. Without easily accessible records, it’s very hard to defend against wage and hours disputes in a court of law. The integration of TSheets and Xero can lessen the burden that this puts on small business owners by guaranteeing fewer data entry inaccuracies and offering increased transparency to employees throughout the process.
Small business owners should follow these two easy steps:
1. Track Time with TSheets
TSheets will store all online timesheets securely with 24/7 access for both employers and employees. TSheets also allows employees to track their breaks and overtime and to edit their timesheets as needed — with a time-stamped audit log of every change and approval that’s made. Easily export approved time from TSheets to Xero in a single click.
2. Run Payroll with Xero
Xero eliminates hours spent on manual data entry and calculations, seamlessly linking payroll with the accounting functions. Aligning payroll and accounting allows small business owners to pay employees and manage appropriate taxes. Xero also provides employees the capabilities to view pay stubs, enter hours, submit time off requests and more – whenever they like.
Payments to employees is one of the biggest cost line items for every small business. By following these two steps small business owners can be confident that they are paying their employees fairly, which allows owners to spend more time on their most important task…building their businesses.
When you're ready to get a new system set up, contact us and we can help!
Content provided by Xero.
