Compliance
FLSA Timekeeping Requirements and Timesheet Compliance FAQs
This FAQ answers 20 of the most common questions about timekeeping compliance in the United States. Organized across legal foundations, federal FLSA rules, state-specific requirements, exempt vs. non-exempt distinctions, audit readiness, and payroll integration, these answers give HR, payroll and operations leaders regulation-grounded guidance for building defensible, audit-ready time records.
20 questions
- Are timesheets required by law in the United States?
- Yes. The Fair Labor Standards Act requires employers to keep accurate records of hours worked and wages paid for all non-exempt employees. The specific recordkeeping obligations are codified in 29 CFR Part 516. The FLSA does not prescribe a format; paper, spreadsheet or digital records are all acceptable as long as the required data elements are captured and retained. Many states add requirements beyond the federal baseline. See our deeper guide on FLSA recordkeeping requirements for the full checklist.
- What is timesheet compliance?
- Timesheet compliance is the practice of capturing, storing and reporting employee work-hour data in a way that satisfies federal FLSA rules, state wage-and-hour laws, and any applicable agency requirements such as DCAA or IRS recordkeeping standards. It covers what data you collect (hours, rates, overtime, breaks), how long you retain it, who can edit it and whether your records are defensible in an audit or wage dispute. A compliant timesheet system produces records that can serve as evidence if a Department of Labor investigator or an employee's attorney requests them.