What Is Buddy Punching + 7 Ways to Prevent It

Buddy punching is a form of time theft where one employee clocks in or out on behalf of another, usually to cover up tardiness, leaving early, or skipping a shift entirely. It’s most common in workplaces that rely on manual time tracking systems like paper timesheets or physical punch clocks.

Although some employees might view this as a friendly way to help a coworker avoid the consequences of attendance issues, this type of timesheet falsification is a form of fraud, and it negatively impacts your business’s bottom line.

The cost of buddy punching

If you don’t think buddy punching is a problem for your business, consider these statistics:

• 75% of U.S. businesses are affected by employee time theft.
• A 2019 study found that 30% of employees admit to buddy punching.
• Buddy punching costs employers an average of $1,560 per employee each year.

Buddy punching raises payroll costs, encourages dishonesty, and degrades the customer experience. When left unchecked, it creates a culture where cutting corners becomes acceptable, making it harder to hold anyone accountable. Over time, this can lead to widespread trust issues, poor team dynamics, and serious financial strain on your business.

Why does buddy punching happen?

There are four common reasons why employees engage in buddy punching:

• Strict attendance policies: Employees may ask coworkers to clock them in or out to avoid the consequences of attendance issues. This is particularly common for employers with point-based attendance policies or inflexible scheduling that doesn’t accommodate employees’ real-life needs.
• Low morale or disengagement: Employees who feel undervalued or overworked may justify buddy punching as a way to “get back” at the company.
• Peer pressure: Coworkers may feel obligated to help each other out. This is especially the case when employees aren’t aware that buddy punching is a form of fraud.
• Lack of consequences: Buddy punching is a shared form of time theft; it requires at least two participants. When one employee sees another getting away with it, the lack of consequences often encourages others to engage in the same behaviors.

Finally, budding punching happens because employers have nothing in place to prevent it. If all one employee needs to punch in/out for another is a copy of their paper timecard or login credentials, it’s just really easy to do.

7 ways to minimize and prevent buddy punching

While you could spend a lot of time acting like a detective to try and identify employees who are buddy punching, the better approach is usually to put measures in place to prevent it altogether. If you want to make it harder — or even impossible — for employees to punch each other in and out, follow these seven tips.

1. Use time tracking software with time theft prevention features

If you’re still using a physical punch clock, there’s absolutely nothing in place to prevent one employee from picking up someone else’s timecard and dropping it into the punch clock. But even modern systems are susceptible to time theft if they don’t have prevention features. It’s just as easy for employees to share login credentials, PINs, or QR codes with each other.

To prevent buddy punching altogether, you need time tracking software like Buddy Punch that has anti-time-theft features built in:

• Photos on punch: Buddy Punch’s photos on punch feature requires employees to take a selfie when they clock in and out. All of those photos appear on their timecards, and you can review them to make sure no one was buddy punching.
• Facial recognition: If you need a time clock kiosk that everyone can use to clock in and out, you can install the Buddy Punch app on an iPad and take advantage of facial recognition. Facial recognition blocks buddy punching entirely by using Face ID technology to validate an employee’s identity before they’re allowed to clock in or out.
• GPS on punch: If your employees work in the field or at multiple locations, you can log their locations to their timecards when they clock in and out using their mobile phones. This lets you identify when employees clocked in before they arrived at a job site or clocked out after they left it.
• Geofencing: Geofencing takes GPS tracking a step further by preventing employees from clocking in or out when they’re not at the job site. If an employee tries to punch while not on location, the system blocks the action. Plus, you can view all offsite punching attempts in our detailed time tracking reports.
• IP address locks: If all of your employees work on computers in an office, you can use IP address locks instead of geofences to only allow employees to clock in/out when they’re connected to your office’s Wi-Fi.

All of this ensures you’re only paying employees for the time they actually work.

2. Record and monitor activity at your clock-in station

If for some reason you can’t or don’t want to adopt time tracking software, an alternative could be to install a camera that records everything that happens at your punch clock. This allows you to identify acts of buddy punching by comparing timestamps to activity at the punch clock at the same time. However, it is a very time-consuming approach.

Another alternative would be to use a security system that only records or takes a picture whenever there’s movement in an area. If your punch clock is located in an area where that’s the only activity taking place, this could be an effective way to identify buddy punching that’s not quite as time-consuming as watching video recordings of an entire day.

3. Create a buddy punching policy

Whether it’s in your employee handbook or your attendance policy, it’s important to define what constitutes buddy punching, why it’s prohibited, and the consequences of doing it. 

While it may seem obvious to you as a business owner why employees shouldn’t clock each other in and out, your employees may think of it as a harmless way to help a coworker. By making it clear that it’s a form of theft that will not be tolerated, you can reduce the likelihood that employees will do it when asked to by a coworker.

Make sure to include these elements in your buddy punching policy:

• A clear definition: Explain what buddy punching is and provide examples so there’s no ambiguity.
• Statement of zero tolerance: Make it clear that buddy punching is considered time theft and will not be tolerated under any circumstances.
• Consequences for violations: Outline disciplinary actions, such as written warnings, suspension, or termination, depending on the severity or repeat offenses.
• Employee expectations: Specify how employees are expected to clock in and out, including any systems or devices used. Emphasize that each employee is responsible for accurately recording their own time and that sharing logins or badges is prohibited.
• Monitoring and audits: Note that time records may be reviewed regularly and that misuse will be investigated.
• Reporting mechanism: Provide a confidential way for employees to report suspected buddy punching.
• Acknowledgment: Require employees to sign an acknowledgment form indicating they understand and agree to follow the policy.

You can also use our sample buddy punching policy as a template if you want an easy way to get started.

If you don’t already have a buddy punching policy in place, create a new one, distribute it to employees, and get them to sign an acknowledgement of receipt. After that, you can add it to your existing employee handbook or attendance policy to make sure new employees see and acknowledge it too.

4. Make your attendance policy more flexible

Often, buddy punching is less about stealing time and more about avoiding getting in trouble for being late, leaving early, or missing a shift. 

Employers with strict attendance policies — particularly those using point-based attendance systems — are more susceptible to buddy punching because employees worry that even minor infractions, like hitting traffic or dealing with a family issue, could cost them their jobs.

If possible, try to find other ways to encourage employees to build better attendance habits. For example, consider allowing a set number of grace periods per quarter, or implement a policy where employees can make up missed time later in the week.

5. Give employees more control over their schedules

Giving employees more control over their schedules can also be helpful. Rigid, one-size-fits-all scheduling often leads to stress, poor attendance, and buddy punching because life doesn’t always fit neatly into a fixed shift.

Consider offering flexible start times (e.g., clock in between 4-5 p.m.) so employees can begin work within a broader window that still meets operational needs. Flexible shifts — where employees can choose from a set of available blocks — can also make it easier to manage personal responsibilities without sacrificing work hours.

Another option is to allow shift swapping with manager approval. This gives employees a way to handle unexpected conflicts without missing time or asking others to cover for them dishonestly.

The more autonomy employees have over their schedules, the less likely they are to feel the need to game the system. At the same time, you maintain the staffing coverage your business needs to operate smoothly.

6. Regularly review time and attendance records

One of the simplest and most effective ways to deter buddy punching is to consistently review time and attendance records. Make it a standard process for supervisors or managers to review and approve employee timecards each pay period.

Flag inconsistencies like early or late punches that don’t match scheduled shifts or punches made when the employee wasn’t on-site. Over time, a pattern of questionable punches can help you identify and address potential issues before they become widespread.

7. Improve employee morale

Employees who feel valued, trusted, and fairly treated are far less likely to engage in buddy punching. On the other hand, employees who are disengaged, overworked, or resentful may justify it as a way to even the score.

Boosting morale doesn’t mean handing out perks. It means listening to employees, recognizing good work, offering growth opportunities, and maintaining fair, transparent policies. Even small changes — like acknowledging a job well done or asking for input on scheduling — can help create a more positive work environment.

When employees feel connected to their workplace and respected by leadership, they’re more likely to follow the rules and hold each other accountable.

What to do if you catch employees buddy punching

Even with the best systems and policies in place, buddy punching can still happen. When it does, it’s important to act quickly, consistently, and fairly. Here’s what to do.

Gather the evidence

Before approaching the employee, make sure you have clear proof of buddy punching. This could include timecard records, camera footage, GPS logs, or discrepancies flagged by your time clock software.

Investigate the situation

Speak with the employees involved privately. Give them a chance to explain, but don’t ignore clear violations. Ask questions, stay calm, and document the conversation.

Refer to your policy

Your next steps should follow the disciplinary actions laid out in your buddy punching policy. Whether it’s a written warning or immediate termination, stick to your process. This prevents accusations of favoritism or unfair treatment. Additionally, both the employee who clocked in and the one who benefited from it should be held accountable.

If you’re going to issue a written warning, here’s a sample warning letter for buddy punching that you can use as a template:

This letter serves as a formal written warning regarding a violation of our time and attendance policy. On [insert date(s)], it was observed and confirmed that you [clocked in on behalf of another employee/allowed a coworker to clock in on your behalf]. 

This action constitutes time theft and is a direct violation of our company policy, which states that each employee must clock in and out for themselves and must not share logins, badges, or time tracking access with others under any circumstances.

As outlined in the [employee handbook/buddy punching policy], buddy punching is considered a serious offense and may lead to disciplinary action, up to and including termination.

This letter is a first formal warning. A copy will be placed in your personnel file. Any further violations of this nature will result in more severe disciplinary action, which may include suspension or termination of employment.

Reassess your systems

If buddy punching slipped through, ask yourself why. Do you need better software? Is your policy too vague? Should managers be reviewing timecards more closely? Use the incident to strengthen your prevention measures.

At the end of the day, buddy punching isn’t just about someone sneaking a few extra minutes — it usually points to bigger issues with your time tracking setup or workplace policies. The good news? It’s totally fixable. 

With the right tools, clear rules, and a little flexibility, you can stop buddy punching before it starts. Set your systems up right, and you won’t have to play timecard detective.