## Time Keeping vs. Time Booking — The Core Distinction
| Term | What it Measures | Who Uses It |
|---|---|---|
| Time Keeping | Total time an employee spends in the factory (attendance) | Payroll Department — to calculate wages |
| Time Booking | Breakdown of that time across specific jobs, operations, or idle periods | Cost Accounting Department — for job costing |
> Both records must reconcile: Time kept = Time booked to jobs + Idle time
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## Objectives of Time Keeping
1. Prepare accurate payrolls
2. Calculate overtime payments
3. Ascertain and control employee costs
4. Identify and minimise idle time
5. Enforce disciplinary measures (late arrivals, absenteeism)
6. Facilitate overhead distribution (attendance data informs overhead rates)
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## Methods of Time Keeping
### Manual Methods
| Method | How it Works | Weakness |
|---|---|---|
| Attendance Register | Entry/exit times recorded in a register | Susceptible to manipulation and proxy attendance |
| Metal Disc / Token | Employee collects/deposits a numbered disc; time-keeper records | Prone to errors; another employee can deposit the disc |
### Mechanical / Automated Methods
| Method | How it Works | Strength / Weakness |
|---|---|---|
| Punch Card | Card inserted into a machine that stamps time | Reduces errors; no time-keeper needed. But another person can swipe the card |
| Bio-Metric System | Uses fingerprint, face, or retina scan | Eliminates proxy attendance. May be cost-prohibitive for small firms |
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## Requisites of a Good Time Keeping System
- Prevent proxy attendance — use foolproof identification
- Record both arrival AND departure times — for accurate wage calculations
- Prefer mechanical methods — reduce disputes between employees and time-keepers
- Record late arrivals — to enforce discipline
- Record time for piece-rate employees too — needed for overtime computation and idle time tracking
- Simple and efficient — avoid long queues at attendance marking
- Regularly reviewed and maintained — prevents errors from accumulating