Representing Florida Employees in Work Issues

Can employers round employees’ timeclock records in Florida?

On Behalf of | Jan 23, 2025 | Employment Law - Employer |

Tracking employee work hours is a standard practice for businesses. However, some employers utilize a method known as “timeclock rounding” to simplify payroll calculations. 

While rounding time entries can be convenient, it raises important questions about fairness and legality. Understanding how timeclock rounding works and whether it complies with labor laws is crucial.

What is timeclock rounding?

Timeclock rounding is the practice of adjusting recorded work hours to the nearest predetermined increment, typically 5, 10 or 15 minutes. For instance, if you clock in at 8:57 a.m., the system may round this time to 9:00 a.m. Similarly, if you clock out at 4:03 p.m., the system might adjust it to 4:00 p.m. The idea is to streamline payroll processes by avoiding calculations of fractions of a minute.

Your employer might round time in three ways:

  • Round up or down: Time is rounded to the nearest increment, whether earlier or later
  • Always round down: Adjustments always favor your employer
  • Always round up: Adjustments consistently benefit you, the employee

While the first method can balance out over time, the latter two may result in systematic underpayment or overpayment.

What does the law say?

The Fair Labor Standards Act (FLSA) allows rounding if it is done in a manner that does not consistently undercompensate employees. Florida follows these federal guidelines and does not impose additional state-specific rules.

Rounding practices must be neutral, meaning they should not consistently benefit the employer at your expense. Furthermore, you should eventually be compensated for all the time you work, including any rounded time.

When rounding becomes problematic

Though legally allowed, rounding can lead to underpayment if improperly implemented. For instance, if your employer always rounds down, you may lose several minutes daily. This can amount to significant unpaid time over weeks or months. 

Additionally, rounding errors may result in you working unpaid overtime. If you believe your employer’s rounding practices are unfair or illegal, consider keeping personal records of your start and end times to compare with your pay stubs.

Timeclock rounding can be a legitimate and efficient tool for payroll management when implemented fairly. However, if you’re an employee in Florida, it’s essential to help ensure that your employer’s practices align with federal laws and don’t result in underpayment. By staying informed and proactive, you can protect your rights and help ensure you’re compensated for every minute you work.

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