Some local units of government have run into problems with employee timekeeping and payroll procedures. To avoid this potential pitfall, we encourage government entities to design and implement a system of internal controls in order to ensure that timekeeping and payroll methods are accurate and reliable.

A good internal control policy should include, for employees paid on an hourly or daily basis:

  • Reports of hours or days worked, not just reports of hours or days absent;
  • Employee and supervisor verification of hours worked;
  • Education procedures to help users protect their personal information;
  • Affirmation of carry-forward amounts for vacation and sick leave; and
  • A hold-back period to allow for the review and approval of timekeeping documents.

For more information, see our Statement of Position on Employee Timekeeping Procedures at:

Date this Avoiding Pitfall was most recently published: 9/20/2019