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Set up Gusto Time Tracking

With Gusto Time Tracking, you can track, review and approve your team’s (employee's) hours in Gusto then run payroll as usual — it’s all automatic. This feature is included in Complete or Concierge plans - you can upgrade at anytime. You can also add contractors to Gusto Time Tracking.

At this time, Gusto Time Tracking is not compatible with pay schedules set up by "employee type". 

Set up Gusto Time Tracking

  1. Clicking the Time tools section and select Time tracking.
  2. Click Learn more in the Time tracking for payroll tile.
  3. Click Get started.
  4. Gusto will automatically check to see if your pay schedule is set up in arrears, a requirement for this feature. 
    • If you need a new pay schedule to use Time Tracking, follow the instructions to contact us so we can assist.
  5. Select which non-exempt (eligible for overtime) employees will be tracking their time in Gusto by clicking + next to their name.
    • Only non-exempt (eligible for overtime) employees with a Gusto login are eligible – these can be non-exempt hourly or salaried employees.
      • To give an employee login access, add their email in the People section.
      • For salary non-exempt (eligible for overtime) employees, only overtime hours are synced to payroll.
    • Employees and managers will receive Gusto Time Tracking welcome emails.
  6. Click Next.
  7. If you already have Managers set up in Gusto, they’ll be automatically assigned to their direct reports. You can use the drop-down to assign existing managers to employees who do not yet have them. Then click Next.
    • Managers will not see employee compensation.
  8. Set the overtime rules for your state.
    • Overtime laws are based on the state where your employees work. Reference our Help Center for state-by-state overtime laws.
    • If you have employees in states with different overtime rules, create default rules you'd like here, then add rules for other states in time tracking Settings after setup.
  9. Select what day your work week starts on.
    • The start of the work week is used to determine weekly overtime. For example, if you pick Monday, employees will be paid for hours worked Monday through Sunday.
  10. Set rules for changes.
    • Select Yes if you'd like to require employees to leave a note explaining changes made to their hours.
  11. Review the pay period, employees, and overtime rules are accurate in the My Team and Settings tabs.

Gusto Time Tracking is now enabled. Learn how to review, edit and approve hours before syncing them to payroll. If you have employees with multiple pay rates, review this article to understand how their hours will translate to the run payroll flow.

Important: At this time, approving hours is purely a visual-aid for admins to identify hours that are approved by a manager. Unapproved hours will still sync to payroll and it is up to an admin to overwrite/correct hours that are synced.

Add additional overtime rules

  1. Click the Time tools section and select Time tracking.
  2. Click the Settings tile.
  3. Under “Overtime rules", click Create new set of rules.
  4. Nickname the set of rules.
  5. Set the overtime rules.
  6. Click Save.

Ensure that all employees have the correct set of compliance rules assigned to them. 

Disable Gusto Time Tracking

  1. Go the Settings section.
  2. Click the Preferences tab.
  3. Click edit next to Time tracking.
  4. Toggle to Disabled.
  5. Click Save.


Q: Will employees and managers be notified about deadlines?

A: Employees will receive an email on the final business day of the pay period reminding them to get their time entered. Managers will receive and email the business day after the pay period ends reminding them to review hours.

Q: Can employees track breaks during their shift?

A: While Gusto doesn't account for time not worked during breaks, employees can indicate they were not working during that time.

  • For example, an employee would have two shifts for the day: 8:00am - 12:00pm, 12:30pm - 5:00pm.

Q: Can I use Gusto Time Tracking and Autopilot together?

A: Gusto recommends not using these features together - allowing time for managers and admins to review and approve hours before processing payroll.

Q: How will Gusto Time Tracking affect an employee’s default hours?

A: Time Tracking will overwrite the default hours with the clocked hours. 

Payroll, benefits, HR and more.