The Importance of Accurate Time Tracking in Long-Term Care Facilities

Accurate time tracking in long-term care facilities is challenging but necessary. Nursing homes and assisted living facilities often have 24/7 shifts, which can mean many employees working varied hours. The possibility of payroll errors in this context is high. Advanced employee time tracking solutions can prevent payroll errors, which are guaranteed to negatively impact employee morale.

The Importance of Accurate Time Tracking in Long-Term Care Facilities

Let's explore how long-term care payroll management can improve your overall operational efficiency.

Compliance with Labor Laws

Employees at long-term care facilities are covered by the federal Fair Labor Standards Act (FLSA). This means that employees must be paid at least the federal minimum wage of $7.25 an hour. If an employee works more than 8 hours in a workday or more than 80 hours in 14 days, they are entitled to time-and-a-half pay for the extra hours.

Because of high turnover in long-term care facilities, it's not unusual for employees to sometimes work a shift longer than 12 hours. In those cases, the employee is entitled to double-time pay.

These are some common payroll mistakes that can result in FLSA violations:

  • Failing to pay employees overtime
  • Mistakes in calculating hours worked
  • Classifying employees incorrectly
  • Inaccurate recordkeeping

The FSLA penalties for payroll violations can be severe. For example, failing to pay your employees minimum wage or the overtime pay they are entitled to can result in a $2,203 fine per violation. Willfully violating overtime pay rules can result in a $10,000 fine. Paying employees late can result in a $100 fine for the first violation (per employee), and $200 for each subsequent violation plus 25 percent of the wages owed.

Efficient Payroll Processing

Accurate time tracking is challenging for long-term care facilities because of the hours employees often work. Employees often cover extra shifts due to staff turnover or other employees taking time off. You might also be bringing in temp workers occasionally just to provide round-the-clock care for your patients. When hours are tracked accurately, either through software or a physical time clock, it makes it much easier to achieve error-free payroll processing.

Caregivers in nursing homes and assisted living facilities are extremely dedicated. They work long hours because they truly care about their patients. They're entitled to overtime pay, and in exchange for their dedication, they deserve to be paid accurately and on time. Failing to do this doesn't just run the risk of accruing FLSA fines and penalties; you are likely to lose them as an employee altogether. Nothing can destroy employee morale faster than paying them late or accidentally underpaying them for their hours.

Benefits of Accurate Time Tracking

Accurate time tracking can reduce or even eliminate errors that can result in serious fines. It keeps your long-term care facility in compliance with the FSLA and any state or local regulations that also apply to you. Accuracy also speeds up the payroll process and reduces the administrative burden on your HR staff.

Another benefit is that time tracking allows for better management of your staffing levels. You can see the number of hours that employees have worked in real time and if necessary, rearrange shifts to keep them under 40 hours a week. Reducing overtime costs is an easy way to increase the profitability of your care center.

With the right time tracking system, you can also increase transparency with your employees. Using a system that they can access with a smartphone or computer, they can see the hours they've worked, and they will know they're being paid accurately. This helps them plan their personal budgets because they'll know how much they will receive with their next paycheck. This transparency can boost morale for your workers.

Best Practices for Implementing Time Tracking Solutions

Here are some questions you should ask when selecting and implementing a new time-tracking solution.

  • Will the new system integrate with payroll software?
  • Can it handle additional HR tasks beyond time tracking?
  • Can employees request time off via a mobile app with this system?
  • Does it allow data analysis that can save my facility money, by better managing employee hours?
  • Can the system be scaled up if my business grows and needs to add more services?
  • Can benefits management such as insurance, paid time off, and retirement be integrated with this solution?
  • Does the system's administrator offer training and support for staff to ensure its successful adoption and ongoing use?

Role of Workforce PayHub in Enhancing Time Tracking

You can increase your payroll accuracy with Workforce PayHub's advanced time-tracking systems. We can customize a solution that will work for your long-term care facility, whether you process payroll in-house or outsource to a third party. Our time-tracking systems can also integrate directly with payroll for incredible efficiency and accuracy. We can connect all your employees seamlessly to one system that increases transparency and builds employee trust.

We also offer everything you need in terms of training and ongoing support to implement our time tracking and HR tools.

Ensure accurate time tracking and compliance in your long-term care facility. Contact Workforce PayHub today to learn how our solutions can streamline your payroll process.

Eric Jones
Reducing Payroll Costs in Long-Term Care Facilities Without Sacrificing Quality Care
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