Guide · Rules
The 7-Minute Rule and Time Clock Rounding
How quarter-hour rounding and the 7-minute rule work under federal law, why rounding has to be neutral, and how per-punch rounding changes a day’s total.
Updated · 5 min read
Time cards & hours · calculator
Time clock rounding calculator
What rounding to the nearest 5, 6 or 15 minutes does to each punch, to the week’s total, and who ends up with the minutes.
Your week
ExampleRound to the nearest
Enter
The rule asks whether rounding evens out over time, so add up to 4 weeks — or paste a whole pay period from your time clock.
Minutes (30), h:mm (0:30) or 1/2 hr. The break is not rounded.
Shows what the period would be if each day’s time were always rounded down — the practice the rule warns about.
Try an example
Rounded to the nearest quarter hour
40:3040.50 hours paid
On the clock: 40:23 (40.38 hours). Rounded: 40:30 (40.50 hours).
Who gained, whole periodOver the week (5 days), rounding favoured the worker by 7 minutes.
Over the week (5 days), rounding favoured the worker by 7 minutes.
RuleRounding punch times to the nearest 5 minutes, tenth of an hour (6 min) or quarter hour (15 min) is accepted for enforcement, provided that over time it does not underpay employees for time actually worked.Sources checked How the math works ↓
Rounding added 25 minutes to the worker’s time and took off 18 (worker +7 min in all).
One week is not the test: the rule asks whether rounding averages out over time. Add weeks or paste a whole pay period.
Day by day (5)
| Day | Clock | Rounded | Worker |
|---|---|---|---|
| Mon | 8:09 | 8:00 | −9 min |
| Tue | 8:08 | 8:00 | −8 min |
| Wed | 8:04 | 8:15 | +11 min |
| Thu | 7:53 | 8:00 | +7 min |
| Fri | 8:09 | 8:15 | +6 min |
| Week | 40:23 | 40:30 | +7 min |
“Worker” is rounded time minus clock time: + means the worker was paid for more time, − for less.
The rounding window
nearest 15 minutesScale: 1 minute = 7.5 px · each cell is one minute, shaded by where it rounds · the triangle is the punch
An in punch rounded earlier adds time; rounded later, it takes time off. With quarter hours, 1–7 minutes past go back and 8–14 go forward: the 7-minute rule.
Who gained, minute by minute
One box = 1 minute · filled = added, open = taken off
Calculated with Punch Clock Math · rules checked October 22, 2026 · an estimate, not legal or tax advice · punchclockmath.com
How the math works
Each punch is moved to the nearest mark of the increment; the paid time is then measured between the rounded punches.
- Round each punch to the nearest markQuarter hours: 8:07 → 8:00 (−7); 8:08 → 8:15 (+7). Tenths (6 min): 8:02 → 8:00, 8:03 → 8:06. 5 minutes: 8:02 → 8:00, 8:03 → 8:05.Exactly half way rounds up. Rounding punch times to the nearest 5 minutes, tenth of an hour (6 min) or quarter hour (15 min) is accepted for enforcement, provided that over time it does not underpay employees for time actually worked.29 CFR 785.48
- The 7-minute rule1–7 minutes past a quarter hour go back; 8–14 go forward.DOL Fact Sheet #53: “Employee time from 1 to 7 minutes may be rounded down, and thus not counted as hours worked” and “employee time from 8 to 14 minutes must be rounded up and counted as a quarter hour of work time.”Fact Sheet #53: The Health Care Industry and Hours Worked
- In and out punches count opposite waysAn in punch moved earlier, or an out punch moved later, adds paid time; the reverse takes it off.The week is measured between rounded punches: rounded out − rounded in − the unpaid break, day by day, added in minutes.
- Who gainedpaid minutes − minutes on the clock, over the period.DOL’s current reading (Opinion Letter FLSA2026-8, May 2026): rounding must be neutral on its face and average out over time. A policy that only rounds in the employer’s favor while employees work is not compliant. Always rounding down may violate the FLSAWHD Opinion Letter FLSA2026-8 (published May 29, 2026) · Fact Sheet #53: The Health Care Industry and Hours Worked
- “Always round down” (comparison only)each day’s time rounded down to the increment: 8:09 → 8:00.Shown only to compare. It is not neutral: it can only ever take time off.
What this doesn’t cover
- State rounding rules: some states are stricter than the federal rule; the site’s state data does not track rounding rules yet. Ask your state labor department.
- Whether early or late minutes were work: time before or after a shift counts only if it was work; the calculator treats every minute between the punches as worked.
- Rounding of breaks: the unpaid break is taken off as typed; break punches are not rounded here.
- Pay: minutes only. The time card calculator turns rounded punches into hours, overtime and pay.
Guides that explain this tool
Guide · Rules
Time Records: What Employers Must Keep (and You Should)
29 CFR 516.2 lists the pay and hours records employers keep for each non-exempt worker: 3 years for payroll, 2 for time cards. What workers should keep.
Updated · 5 min read
In-depth guide · Hours
How to Calculate Hours Worked on a Time Card
How to calculate hours worked from in and out punches: subtract, remove unpaid meal breaks, handle overnight and DST shifts, convert to decimal.
Updated · 11 min read
Page sources
Every rule above comes from these pages, read on the dates shown.