What is time clock rounding?
Recording clock-in and clock-out times to the nearest 5 minutes, tenth of an hour or quarter hour, allowed federally only if it averages out fairly over time.
29 CFR 785.48(b) accepts rounding to the nearest 5 minutes, one-tenth or one-quarter of an hour, as long as it does not, over a period of time, fail to pay employees for all the time they actually worked. Rounding that always favours the employer is not allowed.
Nearest-quarter rounding means 7:07 becomes 7:00 and 7:08 becomes 7:15. Some courts and states look at rounding more strictly, and exact-minute records avoid the question entirely.
Sources
Related terms
- Decimal hoursHours written as a decimal number for payroll (7.75) instead of hours and minutes (7:45).
- Meal and rest breaksFederally, short rest breaks (usually 20 minutes or less) are paid working time; bona fide meal periods (typically 30 minutes or more, fully relieved of duty) can be unpaid.
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