Reduce Your Cost Of Labor
August 4, 2010
ISSUE: The rate of human error in time card preparation is between 1% and 8% according to The American Payroll Association estimates.
COST: A conservative 2% human error rate on a $12,000.00 payroll would equal $240.00 in erroneous wages paid per pay period not including matching taxes and workers compensation insurance. Moreover, the cost to re-issue correct payroll amounts (if the error is detected and reported) further increases your cost of human error.
ISSUE: Were you aware that just 15 employees receiving pay for merely 4 minutes of "wasted" time per day [untracked breaks, extended lunches, over-approximated punch times, etc.] will total 1380 minutes [23 hours] of additional pay per month?
COST: If your average payrate is $10.00 per hour, then you pay an extra $230.00 each month for labor worked, not including matching taxes and workers compensation insurance.
These two issues alone can cost a small company up to $11,000 per year in non-productive or wasted time. Not sure how much you are losing, calculate it using our Savings Calculator (opens in Excel).
SOLUTION: Contact Chris Adkins, Business Technology Manger, today to discuss how PRemployer may have a Time & Attendance System that will work for you. He can be reached by phone 800.780.3060 or by email cadkins@premployerinc.com.