Overview
Audit trails create an immutable record of all time entry creation, modification, and deletion, providing accountability and meeting regulatory requirements.
What's Tracked
Time Entry Changes
- Original entry details
- Modified values
- Who made the change
- When change occurred
- Reason for change (if provided)
Common Events Logged
- Entry created
- Entry edited (hours, project, description)
- Entry deleted
- Entry approved
- Entry rejected
- Bulk changes
- Import operations
Why Audit Trails Matter
Compliance
DCAA: Government contractors must maintain detailed audit trails
SOX: Public companies need financial controls including time tracking
GDPR: EU data protection requires change logging
Dispute Resolution
Client questions invoice:
- Show original time entries
- Demonstrate no post-approval changes
- Prove billing accuracy
Fraud Prevention
- Detect pattern of suspicious edits
- Identify timesheet manipulation
- Deter dishonest behavior
Internal Accountability
- Managers editing employee hours
- Unauthorized changes
- Explain variances
Audit Log Details
Example Entry
Date: 2026-03-20 14:32:15
User: Manager Smith
Action: Modified
Entry ID: #45892
Changes:
Hours: 4.0 → 4.5
Description: "Client meeting" → "Client strategy session"
Reason: "Employee forgot to include prep time"
IP Address: 192.168.1.50
Reporting
Audit Reports
- All changes by date range
- Changes by specific user
- Modified vs. deleted entries
- Post-approval changes (red flag)
- Bulk change operations
Analytics
- Most frequently edited entries
- Users making most changes
- Time between entry and edit
- Patterns indicating issues
Compliance Requirements
DCAA Standards
- Complete audit trail required
- Changes must be logged with reason
- Original values preserved
- Manager approval of changes
- Minimum 3-year retention
SOX Controls
- Prevent unauthorized changes
- Segregation of duties
- Review and approval workflows
- Regular audit reviews
Access Controls
Who Can View Audit Logs
- Admins: Full access
- Managers: Their team only
- Employees: Own entries only
- Auditors: Read-only full access
Who Can Modify
- Employees: Own unapproved entries
- Managers: Team entries with reason
- Admins: All entries with documentation
- System: Automated corrections
Red Flags
Suspicious Patterns
- High volume of after-approval changes
- Consistent upward hour adjustments
- Changes without documented reasons
- Bulk deletions
- Pattern of same-user edits
Investigation Triggers
- Manager editing >10% of team entries
- Post-billing changes
- Deleted entries near month-end
- Unusual time patterns
- Clockify: Comprehensive audit logs
- BigTime: Enterprise-grade audit features
- DATABASICS: DCAA-compliant logging
- Replicon: Detailed change tracking
- ADP: Payroll-integrated audit
Retention & Storage
Retention Periods
- FLSA: 3 years minimum
- DCAA: 3 years minimum
- SOX: 7 years
- State laws: Vary by jurisdiction
Storage
- Encrypted database
- Regular backups
- Off-site archival
- Tamper-proof
Best Practices
- Require Reasons: All edits need explanation
- Limit Edit Window: Lock entries after approval
- Regular Reviews: Monthly audit log analysis
- Automated Alerts: Flag suspicious patterns
- Clear Policies: Document who can change what
- Train Users: Explain importance of accuracy
