UK employment law requires employers to maintain detailed records of working hours, pay, and leave for every employee. TimeTally automates Working Time Directive monitoring, NMW verification, holiday entitlement tracking, and compliance alerts so you are always audit-ready.
“HMRC can investigate at any time — TimeTally means our records are always ready.”
Claire B., HR manager
From audit trails to WTD monitoring — TimeTally keeps you compliant automatically.
Every timesheet entry, approval, and change is logged with timestamps, user identification, and IP addresses. Our timesheet approval software creates the robust evidence trail that HMRC expects during NMW investigations and that employment tribunals require when adjudicating working time disputes. Records retained for 6+ years — exceeding the 3-year HMRC payroll requirement.
TimeTally helps you comply with the full spectrum of UK employment regulations — from Working Time Regulations 1998 to the Employment Rights Act 2023 amendments. For shift-based teams, our shift management tools add night-worker monitoring and rest-period tracking.
UK employment law is complex and the consequences of non-compliance are severe. HMRC issued over 1,000 NMW penalty notices in a single year, and employment tribunal claims for WTR breaches can result in fines of up to £20,000 per offence. Reputational damage from public naming can be even more costly. Our timesheet compliance guide covers the records you must keep.
Working Time Directive violations lead to employment tribunal claims with fines up to £20,000 per breach. Under the Working Time Regulations 1998, employers must keep adequate records to demonstrate compliance for at least 2 years
Inaccurate hour tracking leads to National Minimum Wage underpayment. Under the National Minimum Wage Act 1998, HMRC can impose penalties of 200% of arrears (up to £20,000 per worker) and publicly name non-compliant employers
Manual holiday calculations are error-prone. Under UK law, all workers are entitled to 5.6 weeks of paid leave. Incorrect accrual — especially for part-time, irregular hours, and zero-hours workers using the 12.07% method — leads to compliance issues, back-pay claims, and tribunal disputes
Paper time tracking provide poor evidence for HMRC investigations or employment tribunals. HMRC requires employers to keep payroll records for at least 3 years and working time records for at least 2 years — digital records with timestamps are far more defensible
Under the Working Time Regulations, adult workers are entitled to an uninterrupted 20-minute rest break when working more than 6 hours. Young workers (under 18) are entitled to 30 minutes after 4.5 hours. Manual tracking routinely misses these legal requirements
No clear record of overtime worked or paid. Without accurate records, employers cannot prove NMW compliance when overtime hours are factored in — a common trigger for HMRC investigations and employment tribunal claims
TimeTally helps you comply with the full spectrum of UK employment regulations. From the Working Time Regulations 1998 and National Minimum Wage Act 1998 to the Employment Rights Act 1996 and the latest 2023 amendments for irregular workers, every requirement is covered. For shift-based teams, our shift management tools add night-worker monitoring and rest-period tracking.
Monitor the 48-hour weekly average limit (calculated over a 17-week reference period), mandatory 20-minute rest breaks after 6 hours, 11-hour daily rest periods, and 24-hour uninterrupted weekly rest. Night worker limits of 8 hours average are also tracked automatically.
Accurate hour tracking proves NMW compliance by showing exactly what was paid per hour worked. Automatic calculations handle the different NMW rates for workers aged 21+, 18-20, under 18, and apprentices — critical because HMRC can go back 6 years when investigating underpayment. Export verified hours directly to your accountant via our payroll integrations.
Track irregular hours and part-year workers with the legally mandated 12.07% accrual method introduced by the 2023 amendments. This replaced the complex 52-week reference period for calculating holiday entitlement for zero-hours and casual workers. Our staff holiday tracker automates accrual for every worker type.
The Employment Rights Act 1996 requires employers to provide itemised pay statements and maintain accurate records of hours, pay, and leave. TimeTally's digital audit trail provides the documentary evidence needed to defend against unfair deduction, holiday pay, and constructive dismissal claims.
Fully compliant with UK GDPR and the Data Protection Act 2018. Data stored in EU data centres with TLS 1.2+ encryption, strict retention policies aligned to HMRC requirements, and employee subject access request support as required under Article 15.
Itemised holiday pay calculations that show employees exactly how their entitlement is calculated, whether on a standard 5.6-week basis or the 12.07% accrual method. Use our holiday pay calculator to check figures. Transparent calculations help prevent disputes and demonstrate good faith compliance.
Expert guides to UK employment law compliance
Join hundreds of UK businesses using TimeTally to stay compliant with Working Time Regulations, National Minimum Wage law, and HMRC record-keeping requirements — without the admin burden. See all TimeTally features or start with our free timesheet software.
