Timekeeping: US

This Timekeeping policy helps your organization pay employees accurately and meet federal record-keeping and wage-and-hour requirements under the Fair Labor Standards Act (FLSA) and the U.S. Department of Labor's regulations on records to be kept for non-exempt employees (29 CFR Part 516). It sets clear expectations for recording all hours worked, meal breaks, and other compensable time, including off-site work, and it reinforces that off-the-clock work and falsifying time records are prohibited. It also gives employees a straightforward way to report errors or missed breaks so you can fix issues quickly and reduce the risk of wage claims, audits, and penalties.

The History Behind Timekeeping Policies in the US

The Fair Labor Standards Act of 1938 (FLSA) requires covered employers to pay minimum wage and overtime, which makes accurate time records a practical necessity. Federal record-keeping rules later spelled out the details, including what data you have to track for non-exempt employees and how long you have to keep it (see 29 C.F.R. Part 516).

Courts and the U.S. Department of Labor then made time records central to Wages & Hours disputes. In Anderson v. Mt. Clemens Pottery Co. (1946), the Supreme Court said employees can prove unpaid work with a reasonable estimate when the employer's records are inaccurate or missing, and the burden can shift back to the employer to rebut that estimate. That single rule changed behavior because weak timekeeping became a litigation problem, not just a paperwork issue.

Modern timekeeping policies also track the way work itself changed. Employers moved from factory shifts to remote work, mobile jobs, and always-on devices, and the FLSA still treated "suffer or permit to work" time (work the employer knows or should know is being done) as compensable when an employer knows or should know the work is happening. The National Labor Relations Act added another layer by protecting employees who speak up together about pay practices, which made anti-retaliation language around timekeeping complaints a smart move when people raise issues about off-the-clock work or missing pay.

Which Law is the Timekeeping Policy Meant to Comply With?

If you create and distribute a Timekeeping Policy for your US-based employees, it should comply with the US Fair Labor Standards Act (FLSA) (29 U.S.C. Chapter 8) and the US Department of Labor's Wage and Hour Division record-keeping regulations (29 C.F.R. Part 516).

How to Write an US-Specific Timekeeping Policy

• Start with "why" and explain that accurate time records support correct pay, benefits administration, and legal compliance.
• State who must track time and require recording all hours worked, unpaid breaks, and any time away from work.
• Define the key timekeeping events employees must record, including shift start and end, meal breaks, and leaving or returning during a shift.
• Require employees to record all work time outside scheduled hours and any other compensable time.
• Set the expectation that time entries are made close to the time work starts, stops, or changes.
• Explain how employees should correct missed or inaccurate punches by promptly reporting them so records can be fixed.
• Require regular submission of timesheets through your timekeeping system.
• Prohibit falsifying time records and off-the-clock work, and state that violations may lead to discipline.
• Require employees to report pressure to falsify time or work off the clock.
• Set rules for off-site or remote work for non-exempt employees, including advance approval and accurate tracking of all off-site time.
• Explain how employees should report pay errors, timekeeping problems, or missed breaks, and include a non-retaliation commitment for good-faith reports.

When to Include this Policy in Your Employee Handbook

The law does not require you to publish a policy or issue a specific notice. That said, you still have to comply with the requirements that apply to you as an employer. 

Even when notice is not required, this is still the kind of policy most employers should put in their handbook or otherwise publish to employees. It answers a question employees will ask, sets expectations, and gives managers a consistent script. If you do not include it, you will end up explaining it ad hoc, and that is when inconsistency, resentment, and accidental noncompliance shows up.

Other Considerations

The law applies to US employers who have at least 1 employee in the US.

Exceptions

None.