Time Tracking · Glossary

Time and Attendance

Also called: T&A, time attendance system, time attendance machine, time and attendance software

Definition

Time and attendance is the combined practice of recording whether an employee was present (attendance) and exactly how many hours they worked, including breaks, late arrivals, early exits and overtime (time). A time and attendance system captures punch events, converts them into worked hours against a shift, and hands payroll a per-employee total of paid days and payable hours.

How time and attendance differs from plain attendance

Plain attendance answers one question per day: present, absent, on leave or half day. Time and attendance answers a second one: how many hours, and which of them are payable at what rate. For a monthly-salaried office employee the first question is usually enough. For a factory operator, a guard on a 12-hour post or a daily-wage helper, hours drive the money, so the second question is unavoidable.

The difference shows up in the data model. Attendance stores one status per day. Time and attendance stores punch-in and punch-out events (possibly several a day), break deductions, the assigned shift, and derived fields: worked hours, shortfall, overtime hours and the man-hours that a contractor bills a client.

What a time attendance machine or system computes

A 'time attendance machine' in Indian shop-floor vocabulary is the terminal at the gate – fingerprint, RFID card or face. On its own it stores punches. The software behind it does the arithmetic: pair the first in with the last out, subtract the unpaid break the shift defines, compare the result with the shift length, and classify the remainder.

Under the Factories Act the reference points are 9 hours a day and 48 a week with a 10.5-hour spread-over; anything beyond 9 hours in a day or 48 in a week is overtime at twice the ordinary rate. The Code on Wages keeps the double rate. So the system must know the shift, the daily cap and the weekly cap, not just the punch times. The hourly rate itself is usually derived as monthly wage ÷ 26 ÷ 8 – try it with the overtime pay calculator.

  • Worked hours = last out − first in − unpaid break (or the sum of all in/out pairs if multiple punches are allowed)
  • Shortfall = shift hours − worked hours, used for half-day or late-deduction rules
  • Overtime = worked hours above the daily shift cap, or weekly hours above 48, whichever the policy applies
  • Night hours = hours falling inside a defined night window, for night-shift allowance

How it feeds payroll

Payroll needs three numbers per employee per month: paid days (including weekly offs and paid leave), LOP days and OT hours (sometimes split into 1x and 2x buckets). A time and attendance system produces exactly these, ideally locked after a cut-off so the salary run is reproducible. The steps are laid out in how to prepare attendance for payroll.

Where companies go wrong is exporting raw punches to Excel and recalculating hours by hand. A 300-person plant generates about 18,000 punch events a month; manual pairing of ins and outs is where missed punches, double punches and midnight-crossing shifts create wrong OT. Read timesheet vs attendance for how the two records should be kept apart.

Example: 12-hour night post

Shift 20:00–08:00 with a 1-hour unpaid break. Punches: in 19:52, out 08:41. Worked = 12h 49m − 1h = 11h 49m. Shift length is 11 payable hours, so 49 minutes is OT; policy rounds to the nearest 30 minutes, giving 0.5 OT hours. Monthly wage ₹18,200 → hourly ₹18,200 ÷ 26 ÷ 8 = ₹87.50; OT at 2x = ₹175 × 0.5 = ₹87.50 for that night.

How Attend Mitra handles this

Attend Mitra records punches from face, selfie, GPS, QR, kiosk and biometric devices against shift templates (including shifts that cross midnight), applies break, grace, early-exit and overtime rules per shift, and derives LOP and OT into attendance-linked payroll runs, with Excel export for companies that run salary elsewhere.

Frequently asked questions

What is a time and attendance system?
It is software, usually paired with capture devices or a mobile app, that records employee punch times, applies shift and break rules to calculate hours worked, flags late arrival, early exit and overtime, and supplies payroll with paid days and payable hours. It is broader than an attendance register because it deals in hours, not just presence.
Do monthly-salaried employees need time tracking or only attendance?
For most office staff, daily attendance plus leave is sufficient because pay does not vary with hours. Time tracking becomes necessary where hours are billed to a client, where overtime is paid, or where the Shops and Establishments Act of your state requires hour records for inspection. Many companies track hours for everyone simply to have the record.
Which hours count as overtime under Indian law?
Under the Factories Act, work beyond 9 hours in a day or 48 hours in a week is overtime payable at twice the ordinary wage rate. The Code on Wages 2019 keeps the double-rate rule; daily limits are notified by the appropriate government. Check your state's Shops and Establishments Act for non-factory establishments, since limits vary.
Can one system handle both a gate machine and a mobile app?
Yes, and it should. The gate terminal covers fixed-location staff, while the app covers guards, drivers and field teams. What matters is that both sources write into the same employee record with the same shift rules so month-end totals come from one place.

Related terms

Attendance Management System
An attendance management system is software that records when employees start and finish work, applies the company's shift, late-mark and leave rules to those records, routes corrections through approvals, and produces the attendance reports and paid-day counts that payroll depends on. It replaces paper registers, Excel sheets and WhatsApp messages with one auditable record per employee per day.
Punch In / Punch Out
Punch in and punch out are the timestamped events that mark the start and end of an employee's working time – historically a card stamped by a mechanical clock, today a biometric scan, face match, QR scan or app tap. The pair of events, matched to the employee's shift, is what attendance software converts into hours worked, late arrival, early exit and overtime.
Timesheet
A timesheet is a record of the hours an employee spent working, broken down by day and usually by task, project, client or site, submitted for a week or a month and approved by a manager. Where an attendance record shows presence and total hours, a timesheet shows what those hours were spent on, which makes it the basis for client billing, project costing and hourly or overtime pay.
Overtime (OT)
Overtime is work performed beyond the legal daily or weekly limit of working hours, which in India is generally 9 hours a day or 48 hours a week. Overtime must be paid at not less than twice the ordinary rate of wages under the Factories Act and the Code on Wages. The hourly rate is usually derived by dividing the monthly wage by 26 days and then by 8 hours.
Man-Hours (Man-Days)
A man-hour is one hour of work by one person; a man-day is one person's full working day, conventionally eight hours. Man-hours are computed from attendance by summing each person's worked hours across a period, and they are the unit in which security agencies, facility-management and labour contractors bill clients, estimate projects and compare productivity across sites.
Biometric Attendance
Biometric attendance records an employee's presence by verifying a physical trait – fingerprint, face, iris or palm vein – against a stored template at the moment of punching. Because the trait cannot be lent to a colleague the way a card or PIN can, it is the standard defence against buddy punching, and it forms the capture layer of most factory and office attendance systems in India.

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