Use Timecards with Square Payroll
Read below for tips and instructions for using Timecards with Square’s online payroll service.
Setting up Timecards
Step 1: Enable Timecards in Square Payroll
Visit Payroll Team in the Payroll section of your online Square Dashboard.
Select the team member you would like to add to timecards.
Click Generate Point of Sale Passcode.
A four-digit passcode will appear. Record this passcode and deliver it to your team member. Your team member will use this passcode to clock in and out on your account in the Square Team app or through the Square Point of Sale app.
Repeat steps 4 and 5 for all team members using Timecards.
Step 2: Turn on Timecards on your Square Point of Sale app
To use this feature, you’ll need the latest version of the app on your device.
Timecards should automatically be activated on your account after you assign a passcode to your team members(s). If it you do not see a clock in the bottom-right corner when you are logged into the Square app, follow these steps:
From the Square Point of Sale app, tap Settings > Time Tracking.
Toggle Time Tracking on.
Once enabled, a clock will appear in the bottom right corner of the app, indicating time tracking has been turned on. Your team members can tap the clock to clock in and out in the app using their individual passcodes from Step 1.
Step 3: Manage Settings for the Square Team app
The Square Team app gives team members the ability to clock in / out without using the Square Point of Sale app. To manage their ability to create timecards from the Square Team app:
Visit Shifts > Settings > Clock in/out in your online Square Dashboard > Settings > Clock in/out.
Toggle Clock in/out from team app on or off.
Note: Team members can only track time through the Square Team app if Online Account access is toggled on in the Payroll Team profile and Clock in/out from team the app is enabled in Timecards.
Viewing and Editing Timecards
Visit Shifts in your online Square Dashboard to:
View open timecards
Close open timecards
Delete accidental timecards
Review closed timecards
Edit closed timecards
Run reports on hours worked
View Open Timecards
Visit Shifts in your online Square Dashboard to view timecards for team members who clocked in but haven’t clocked out yet. Open time cards will have a green dot to the left of the team member’s name.
To close an open timecard:
Select the team member’s timecard you’d like to close.
Click Clock Out.
Enter a clock out time.
Create a Timecard
To create a new timecard for one of your team members:
From your online Square Dashboard > Staff > Shifts > Labor & Tips.
Click Add Shift Record.
Select your team member, location, and job title.
Enter the appropriate date and hours worked.
Delete a Timecard
To delete a timecard for one of your team members:
Visit Shifts in your online Square Dashboard.
Use the date selector and name filter to locate the timecard that needs to be deleted.
Select the timecard and click Delete Timecard.
Confirm Delete Timecard.
The Labor Cost tab in the Shifts section of your online Square Dashboard shows the team member name, location, notes (when using Team Plus), and total hours worked for each team member who has clocked in and out during the selected time frame. Time card errors and violations to your break and overtime rules will be marked red.
Click Export Labor Cost to download this report as a CSV file.
View Shift History
To edit a team member’s shift details:
Visit Shifts in your online Square Dashboard.
Use the date selector and name filter to locate the timecard that needs to be edited.
Make necessary changes.
Importing Timecards to Square Payroll
To import your team member’s hours into Square Payroll:
Visit your Payroll Overview page > Pay Employees or Pay Contractors.
Click Import time and wages. All of your team's Reg Hours, Overtime, and Double time will be populated with the number of hours worked by each team member. Note: If you have enabled Tip Importing, Commission Tracking, or if you require your team to declare cash tips when clocking out or switching jobs, your team member's tips and commissions will also be imported into your payroll run.
Note: Timecard hours can only be imported after the pay period ends. Please wait until the pay period has ended to import hours to Square Payroll.
Overtime and double time pay
When you import timecards to Square Payroll, overtime pay and double time pay are calculated for each W-2 employee based on the break settings rules you set in your online Square Dashboard, at 1.5 or 2 times the base hourly rate(s) of pay. Other forms of compensation, including commissions and bonuses, are not automatically included in overtime calculations. If your non-exempt (hourly) employee earns these types of compensation, you may need to manually adjust their pay to meet federal and state wage laws. You should consult federal and local government websites and/or consult with qualified counsel to help you with your compliance obligations regarding overtime calculations.
Square Payroll does not calculate overtime for 1099 contractor payments.
Employees with only one job and hourly rate: The employee’s overtime rate is calculated as one-and-a-half times (1.5x) their base hourly rate. The double time rate is calculated as two times (2x) their base hourly rate.
Employees with multiple jobs and hourly rates: Overtime and double time rates are calculated as 1.5 and 2 times the weighted average of base hourly rates worked, respectively. If a team member worked overtime or double time in multiple workweeks in the pay period, Square Payroll will calculate overtime and double time pay per workweek to calculate the weighted average overtime or double time rate of the pay period. If hours are edited after importing timecards, overtime and double time pay will not be calculated per workweek and will be calculated over the pay period. Learn more about paying employees with multiple rates.
Overtime and double time settings
If you are using Square Timecards, you can configure your overtime and double time settings at any time from the break settings section of your online Square Dashboard. Learn more about Square Shifts.
How to adjust overtime and/or double time rates and wages
Only base hourly wages are factored into overtime calculations. Other forms of compensation, like commissions and bonuses, are not automatically included. If your non-exempt (hourly) employee earns these types of compensation, you may need to manually adjust their pay to meet federal and state wage laws.
You can always edit the imported/automated overtime and double time calculations by following the steps below.
Employees with only 1 job and hourly rate: Overtime and double time rates are calculated based on the base hourly rate only.
If you need to adjust the employee’s base hourly rate, you can simply edit it from within the pay run itself or from the employee’s profile.
If you need to manually adjust overtime or double time wages (not the base hourly rate), you can manually calculate the increase needed and add the amount to the Additional column.
Employees with multiple jobs and hourly rates: You may override the overtime or double time rates for each employee individually by clicking Edit under the Rate column for that team member.