How TimeClock Systems With Biometric Readers Reduce Payroll Costs
Filed Under Biometric Timeclock Systems, Managing Payroll Costs | Leave a Comment
Industry studies and leading Human Resource professionals both report that “buddy punching” costs businesses millions of dollars per year in excess payroll costs.
Buddy punching happens when one employee punches the timecard of another employee (for example somebody who has not arrived yet or has already left).
For this reason, biometric readers are now an essential part of modern timeclock and attendance systems because they eliminate the practice of buddy punching by using accurate biometric identification technology. There is a range of field-proven biometric technologies to choose from, including biometric hand readers, fingerprint readers and so on.
Biometric hand readers use the size and shape of your employee’s hand to verify their identity each time they punch. No fingerprints or palm prints are utilized.
Fingerprint readers use proven fingerprint technology to recognise the unique fingerprint of each employee and verify their identity each time they punch.
Find out about computerized time clock systems and biometric readers at http://computerized-timeclock.info/
The term Payroll tax actually includes the Social Security tax, Medicare tax and Federal income tax. The Social Security tax provides benefits for retired workers, the disabled their dependents and it has a payroll tax rate of 6.2%. There is a maximum annual amount of Social Security tax withheld per employee. Social Security taxes are not withheld on amounts over the earnings limit. In 2004, the earnings limit was $87,900, and the maximum Social Security tax was $5,449.80.
The Medicare tax provides medical benefits for certain individuals when they reach age 65 and has a payroll tax rate of 1.45%.
Federal income tax is used to fund national programs such as defense, community development, and law enforcement. All employees must complete Form W-4, the Employee’s Withholding Allowance Certificate, which is used Read more












