What is a Timesheet? Definition, Types, and How to Use One
A timesheet is a record of hours an employee works during a given period. It documents when work started, when it ended, how long breaks lasted, and — in many cases — which projects or tasks the time was spent on.
Timesheets originated as physical paper documents in factory settings, where punch clocks stamped arrival and departure times on cards. Today, they are mostly digital — generated by time tracking software, filled out in spreadsheets, or entered through web and mobile apps.
Despite the evolution in format, the purpose remains the same: timesheets create an auditable record of labor hours for payroll, billing, compliance, and resource planning.
- A timesheet records employee hours worked, breaks taken, and projects or tasks the time was spent on
- Timesheets are legally required under the FLSA — employers must maintain accurate records of non-exempt employee hours
- Automatic time tracking eliminates the 10-15% error rate that comes from employees recalling hours at the end of the week
- Timesheets drive payroll accuracy, client billing, project costing, and resource planning decisions
- In a wage dispute, the employer's time records are the primary evidence — incomplete records shift the burden to the employer
What information does a timesheet include?
A standard timesheet captures:
- Employee name and identifier
- Date for each day in the period
- Start time and end time for each work period
- Break duration (paid and unpaid)
- Total hours worked (regular and overtime)
- Project or task codes (for billing and cost allocation)
- Manager approval (signature or electronic confirmation)
Here is what a simple weekly timesheet looks like:
| Day | Start | End | Break | Total | Project |
|---|---|---|---|---|---|
| Mon | 8:00 AM | 5:00 PM | 1:00 | 8.00 | Client A |
| Tue | 8:15 AM | 5:15 PM | 1:00 | 8.00 | Client A |
| Wed | 8:00 AM | 5:30 PM | 0:30 | 9.00 | Client B |
| Thu | 8:00 AM | 5:00 PM | 1:00 | 8.00 | Client A (4h), Internal (4h) |
| Fri | 8:00 AM | 4:00 PM | 0:30 | 7.50 | Client B |
| Total | 40.50 |
Types of timesheets
Daily timesheets
Record hours for a single day. Best for shift workers, hourly employees, and operations where daily accuracy matters — such as contact centers where agent hours are tracked per shift.
Weekly timesheets
The most common format. Captures a full week of hours on one form, typically aligned with the pay period. Works well for most office and remote workers.
Biweekly and monthly timesheets
Used for salaried employees and longer billing cycles. Less granular than weekly timesheets but simpler to manage for employees with consistent schedules.
Project-based timesheets
Track hours by project or client rather than by calendar period. Common in consulting, agencies, legal firms, and any business where time directly translates to client billing. Employees may split their day across multiple projects.
Paper timesheets vs. spreadsheets vs. software
| Factor | Paper | Spreadsheet | Software |
|---|---|---|---|
| Cost | Very low | Low | $3-$15/user/month |
| Accuracy | Low (handwriting, math errors) | Medium (formulas help) | High (automatic capture) |
| Real-time visibility | None | Limited | Full |
| Compliance | Weak (easy to alter, hard to audit) | Moderate | Strong (audit trails, timestamps) |
| Scalability | Poor (over 10 employees) | Poor (over 25 employees) | Good |
| Payroll integration | Manual data entry | Manual export/import | Direct integration or export |
| Employee effort | High (fill out daily) | Medium (enter weekly) | Low (automatic tracking) |
Paper timesheets still exist in industries like construction, agriculture, and small service businesses. They are simple but error-prone, hard to store, and provide no real-time visibility.
Spreadsheet timesheets (Excel, Google Sheets) add formulas and structure but still depend on manual data entry, suffer from version control issues, and lack enforcement mechanisms for submission deadlines.
Time tracking software automates the process. Tools like HiveDesk record hours via desktop, mobile, and browser apps — often automatically, based on actual computer activity. Timesheets are generated from tracked data rather than manually entered.
Why timesheets matter
Accurate payroll
The most immediate purpose. Timesheets determine how much hourly employees are paid each period. Errors — overpayment or underpayment — are both costly. Overpayment is a direct financial loss. Underpayment creates legal liability under the FLSA and state wage laws.
Legal compliance
The FLSA requires employers to maintain accurate records of hours worked by non-exempt employees. These records must include the day and time the workweek begins, total hours worked each day, and total hours worked each week. Records must be retained for at least 2 years (3 years for wage computation records).
In a wage dispute, the employer's time records are the primary evidence. If records are incomplete or inaccurate, courts often side with the employee.
Important
The FLSA requires employers to retain time records for at least 2 years (3 years for wage computation records). In a wage dispute, incomplete or inaccurate records shift the burden of proof to the employer — courts will often accept the employee's estimate of hours worked.
Project costing and profitability
For services businesses, timesheets reveal the true cost of delivering a project. If a project was quoted at 100 hours but consumed 150, that information lives in the timesheets. Without accurate time tracking, project profitability is a guess.
Client billing
Billable hours drive revenue for consulting firms, agencies, legal practices, and other professional services. Timesheets provide the documented basis for client invoices. For guidance on converting timesheet hours to decimal format for billing, see our time to decimal conversion chart.
Resource planning
Historical timesheet data reveals patterns: which teams are consistently overloaded, which projects consume more hours than expected, and where capacity exists. This data feeds utilization rate calculations and workforce planning decisions.
Generate Timesheets Automatically
HiveDesk tracks work time via desktop, mobile, and browser apps — then generates payroll-ready timesheets without manual entry. No more chasing employees for late submissions.
How to fill out a timesheet
Step 1: Record time as you work
The biggest mistake employees make is filling out timesheets at the end of the week from memory. A study by the American Payroll Association found that employees who recall their hours at week's end are off by an average of 10-15%. Record time daily, or better, use automatic time tracking that captures hours in real time.
Step 2: Assign hours to the correct project or task
If your organization tracks time by project, make sure each entry is coded correctly. Misallocated time distorts project costing, utilization metrics, and client invoices.
Step 3: Note breaks and time off
Record all breaks — both paid and unpaid. If your employer auto-deducts lunch breaks, make sure you actually took the break. If you worked through lunch, record the actual hours.
Step 4: Submit on time for manager approval
Late timesheets delay payroll processing and create extra work for managers and payroll teams. Submit by the deadline, every period, without exception.
Timesheet best practices for managers
Set clear submission deadlines
"End of day Monday" is better than "beginning of the week." Specific deadlines reduce ambiguity and late submissions.
Review and approve timesheets promptly
Timesheets that sit in an approval queue for days delay payroll and signal that accuracy is not a priority. Review within 24 hours of submission.
Look for anomalies
- Perfectly round numbers every day (exactly 8.00 hours) may indicate the employee is entering estimates rather than actual hours
- Missing days suggest the employee forgot to record time, not that they did not work
- Consistent overtime may indicate workload problems that need to be addressed
- Time entries that do not match project progress warrant a conversation
Automate where possible
Every manual step in the timesheet process is an opportunity for error and delay. Automatic time tracking, digital approval workflows, and direct payroll exports reduce friction and improve accuracy.
Review Within 24 Hours
Timesheets sitting in an approval queue signal that accuracy is not a priority. Review and approve within 24 hours of submission to keep payroll on schedule and reinforce the habit of timely, accurate time entry.
Frequently asked questions
What is the difference between a timesheet and a time card?
A time card is a physical record (or its digital equivalent) of clock-in and clock-out times. A timesheet is broader — it may include project allocation, task descriptions, break records, and other details beyond simple start and end times. In modern usage, the terms are often used interchangeably.
How long should employers keep timesheets?
The FLSA requires retention of basic time records for at least 2 years and wage computation records (including hours worked each day) for at least 3 years. Many employers retain records for 5-7 years as a precaution. State laws may impose longer retention requirements.
Are timesheets legally required?
The FLSA requires employers to maintain records of hours worked by non-exempt employees. While the law does not specify the format (paper, spreadsheet, or software), it does require that the records exist and be accurate. Practically speaking, timesheets are the standard method of compliance.
What happens if an employee does not submit a timesheet?
The employer is still obligated to pay the employee for all hours worked, even without a submitted timesheet. If the employee refuses to submit timesheets, the employer can take disciplinary action — but cannot withhold pay.
Can timesheets be used as evidence in a wage dispute?
Yes. Timesheets are primary evidence in FLSA wage claims. Accurate, complete timesheets support the employer's position. Inaccurate or missing timesheets shift the burden of proof to the employer, often resulting in the court accepting the employee's estimate of hours worked.
Timesheets do not have to be a burden. HiveDesk generates timesheets automatically from tracked work time — no manual entry required. Employees work, the system records, managers approve, and payroll gets accurate data. $5/user/month, all features. Start free.
