Attendance tracking systems software is a type of business application designed to track and optimize the hours that employees spend on the job and keep records of wages and salaries paid. Time and attendance tracking systems should be able to track paid and non-paid hours. Although billable hours may seem like the more important component, non-billable hours are actually needed in order to monitor actual time spent on a project or task. This will help determine whether an employee is productive or if the task is cost effecient in the long run.