Keeping tabs on employee attendance isn’t as simple as checking to see who is sitting at their desk. In industries where field work is wide-spread like construction, healthcare, retail, and hospitality, employees are usually spread across multiple working locations and even employed in hybrid models. If that sounds like your business, you need geofencing software.
Geofencing software creates a digital boundary around a work location using GPS and Wi-Fi signal. When employees enter or leave that area, the geofence system can trigger specific actions like clocking them in or out, sending alerts, or blocking unauthorized logins. Geofencing technology makes accurate time tracking easy, eliminates “buddy punching” (when one employee clocks in for another employee), and provides managers with data regarding hours actually worked for more efficient workforce planning.
Read this article to understand how geofencing works, get an outline of its key features and benefits, and receive an in-depth review and comparison of the top 5 geofencing software in 2025. Whether you’re managing a construction project with dozens of contractors or running a retail business with multiple brick-and-mortar stores, you’ll find the right geofencing tool to make planning easier and improve how you run your business.
💡 In a hurry? Take a look at our comprehensive comparison chart to get an overview of the 5 best geofencing software.
What is Geofencing Software?
Geofencing software is a workforce management tool that creates so-called geofences to monitor activity within specific physical locations. These digital perimeters are set up and defined using GPS coordinates, Wi-Fi signals, or Bluetooth. When an employee crosses the boundary of the geofence, the software records that breach and triggers whatever action is assigned to that location. This allows you to either get notifications regarding clock-in or clock-out events, or restrict actions that employees can take on their devices.
Geofencing examples
The core purpose of geofencing software is ensuring accurate, location-based time tracking. However, its applications vary widely depending on your industry. From construction crews working across multiple sites to healthcare providers visiting patients’ homes, geofencing adapts to the different challenges you may face in accurate time tracking and workforce planning. Below are some of the most common industry use cases showing how businesses in each sector can benefit from implementing geofencing.
Top Geofencing Software for Construction
In construction, landscaping, and other field service industries, geofencing ensures your team can only clock in when they’re physically at the job site. This prevents time theft, simplifies compliance, and helps managers track crews across multiple projects in real time. Project-based payroll is also made more accurate by automatically assigning hours worked to specific locations.
Retail & Hospitality
Geofencing helps control labor costs for stores, restaurants, and hotels by blocking early clock-ins from off-site locations. This helps managers ensure that employees are where they should be by allowing them to oversee multiple locations remotely. Scheduling becomes more precise and headcount aligned with customer demand with attendance tracking tied to actual presence on-location.
Healthcare Geofencing Solutions
Nurses, therapists, and caregivers use geofencing to verify that visits to clients happen at the right location and for the right duration. This improves accountability and supports compliance with care plans, which is essential when it comes to mobile care providers. Patients and families alike have peace of mind knowing that caregivers’ presence is verified.
Transportation & Logistics
Delivery companies benefit from geofencing by tracking drivers when they check in at depots, warehouses, or delivery zones. The system can automatically log arrival and departure times to improve efficiency, customer communication, and accuracy when it comes to billing based on billable hours.
Professional Services Geofencing Software
Real estate agents and consultants working across multiple sites use geofencing to provide proof of presence and provide accurate timesheets involving billable hours. This not only improves transparency for a better client experience but also makes billing and payroll a breeze. For hybrid teams, geofencing is particularly useful to distinguish between hours worked at the office, at client sites, or remotely.
Key Features of Geofencing Software
The best geofencing apps go beyond basic location-based time tracking features. When searching for the best option that meets your business needs, keep an eye out for the features listed below. Make sure to consider how these features come together to tie in to your existing systems to find the best employee clock in app with geofencing capabilities.
- Mobile clock-in/out with GPS: Employees can use their smartphones to log work hours only when they are within the designated geofence.
- Customizable geofence radius: Employers can set boundaries as small as 50 meters or as wide as 1 kilometer. (about 150 feet to 0.6 miles)
- Real-time alerts: Managers receive instant notifications if an employee attempts to clock in from outside the approved area.
- Location-based reporting: Timesheets include GPS coordinates for each shift, helping verify attendance.
- Integrations with payroll and HR systems: Automatically sync geofence-based clock-ins with payroll for accurate payments.
- Offline capabilities: Some apps allow employees to clock in even without internet; data syncs later.
- Privacy concerns: Most tools only track location during clock-in/out events, not continuously, ensuring compliance with privacy laws.
Benefits of Using Geofencing Software
The examples above make it clear why using geofencing software brings clear advantages across industries. To recap:
- Accuracy and accountability: No need to rely on manual timesheets or take employees’ word for when they arrived.
- Prevents time theft: Gets rid of buddy punching and false clock-ins.
- Saves administrative time: Automated reporting means less manual entry which leads to fewer payroll errors.
- Easier compliance: Tracking time more accurately means labor laws are followed, particularly in industries with strict overtime rules.
- Flexible across industries: From construction crews spread across sites, to healthcare workers visiting patients the benefits of geofenced time tracking are evident.
- Boosts transparency: Employees and employers alike have a clear overview of attendance data. Clients can also be provided with a more accurate breakdown of billable hours.
Top 5 Geofencing Software in 2025
1. Factorial
Factorial is more than just an employee time and attendance system. It’s a full business management software designed to empower leaders and support their core business operations. When you use Factorial’s geofencing features, those features are integrated seamlessly into a broader set of tools like payroll, document management, and performance tracking to make your life easier.
Your employees clock in and out via the Factorial mobile app. The system records the GPS coordinates of your employee at the moment of clocking in, but it doesn’t track continuously, making it compliant with data protection laws and respecting employee privacy. Assign managers the permission to customize the geofencing radius between 50 meters and 1 km (about 150 feet and 0.6 miles), block unauthorized clock-ins from outside the geofence area, and receive real-time alerts when employees attempt to clock in from outside the defined boundary. With Factorial, you can also export PDF reports that include detailed location data for compliance.
Factorial stands out as one of the best time tracking solutions with GPS or geofencing capabilities because it ties geolocation directly into your business workflow. This makes it one of the most well-rounded and business-friendly solutions for SMBs that want to simplify multiple processes with a single platform.
Pros:
- Comprehensive HR & business management software with payroll integration
- Tracks only at clock-in/out for privacy
- Flexible radius settings
- Detailed reports and real-time alerts
Cons:
- Only works with mobile clock-ins (not desktop)
- Cannot combine with QR-based entrances simultaneously
Price: Starting at $8/user/month
2. Hubstaff
Hubstaff is primarily a time tracking and monitoring tool with GPS combined with productivity insights and payroll automation. The system allows you to set up location-based job sites to automatically clock employees in and out when they enter or leave. Hubstaff also allows you to generate detailed timesheets and includes features geared towards monitoring the productivity of remote workers like providing insights into app and URL usage, activity levels, screenshots, and workforce analytics.
Pros:
- Automatic geofence-based clock-ins/outs
- Strong integrations for project and payroll management
- Real-time workforce visibility
- Detailed productivity reports
Cons:
- Monitoring features can feel invasive
- Pricier than some alternatives for full feature set
Price: Free plan available; paid plans start at $7/user/month
3. QuickBooks Time (formerly TSheets)
QuickBooks Time is one of the most popular solutions for construction and field service companies. Since it’s tightly integrated with QuickBooks Payroll and accounting, it reduces manual data entry and simplifies invoicing for job-based work.
Managers can create multiple geofences for different job sites. When employees enter or leave a site, they are prompted to clock in or out. This ensures timesheets are always accurate. Location is tracked only during active shifts, ensuring privacy.
Due to its integration with QuickBooks’ payroll software, QuickBooks Time is especially useful for contractors who bill clients by project.
Pros:
- Seamless QuickBooks payroll and accounting integration
- Multiple site support for job-based industries
- Mobile app prompts employees to clock in/out
- Detailed project-based reports
Cons:
- Reporting can be overwhelming for new users
- Best value is within QuickBooks ecosystem
Price: $8/user/month + $20 base fee
4. Deputy
Deputy was designed with shift-based industries such as retail, hospitality, and healthcare in mind. Its strength lies in workforce scheduling combined with geofence time tracking. Employees can only clock in from authorized locations in order to comply with shift rules.
Similarly to Factorial, employees use a mobile app to clock in where they can also view schedules, request leave, and submit timesheets, all with their managers’ approval.
Pros:
- Combines scheduling, time tracking, and geofencing
- Simple mobile app with shift swapping features
- Affordable compared to enterprise tools
Cons:
- Limited advanced GPS tracking
- Not ideal for project-based companies
Price: From $4.50/user/month
5. Clockify
Clockify is a free time tracking app, but its (paid) Pro plan includes GPS tracking and geofencing, making it an affordable option for freelancers who need reliable location-based attendance tracking without other HR and business management features.
With Clockify, employees can clock in using mobile, and managers can check whether they were in the approved location using geofencing.
Clockify is an affordable solution for location-based time tracking, but other features like payroll preparation and scheduling are only possible through integrations. Businesses that want a solution that will scale with their business may outgrow quite quickly and they may prefer a solution like Factorial with a wider range of business tools.
Pros:
- Free plan available (without geofencing)
- Affordable upgrade for GPS/geofencing
- Easy interface for small teams and freelancers
Cons:
- Limited HR and payroll functions
- Lacks advanced workforce reporting
Price: Paid plans with GPS start at $4.99/user/month
Geofencing Software Comparison Chart
| Platform | Best for | Key highlight | Price |
| Factorial | SMBs & HR-focused companies | Strong HR + payroll integration | From $8/user/month |
| Hubstaff | Remote & field-based teams | Automatic geofence-based clock-ins | From $7/user/month |
| QuickBooks Time | Construction & field services | Multi-site geofencing + payroll sync | From $8/user/month + $20 base |
| Deputy | Retail, hospitality, healthcare | Shift scheduling with geofence clock-ins | From $4.50/user/month |
| Clockify | Small businesses & freelancers | Free time tracking + affordable GPS | Free, or $4.99/user/month |
Choosing the Best Geofencing Software
In order to choose the best employee clock-in app with geofencing capabilities, the key is to focus on how the tools fit your business’ needs today and how it will adapt to your business as you grow.
- What problem are you trying to solve? Clear priorities will guide in choosing what functions are crucial for your business, whether you are trying to prevent time theft, make scheduling shifts easier, or streamline payroll.
- Where and how does your team work? The type of software that is ideal for your business depends on your work and business model. Do your employees report to a fixed location, move from site to site, or work remotely? This will dictate whether you need software with a mobile app.
- How large is your team? Some software solutions work great with a small team, but struggle to scale as your team grows. Think about your headcount now and in two years. This ensures that you won’t need to switch systems too soon, which can cause bigger problems down the line.
- What other systems does it need to connect with? Seamless integration across your platforms reduces manual work and errors due to double entry. If you want the software to integrate with your scheduling, payroll, and reporting, this should also factor into your decision.
- What will your employees think of the tool? Employees can be hesitant when it comes to adapting new tech, especially when it comes to time tracking. Prioritize choosing an app that is easy to use and removes obstacles instead of adding extra steps.
- What are your compliance and data privacy requirements? Another reason employees may be wary of new technology is the way you handle concerns over data privacy. Make sure the platform records only what’s necessary and that it complies with relevant labor and privacy regulations in your region, especially when it comes to the legal requirements of time tracking.
Use these questions to evaluate the tools you consider and find a solution that supports the actual needs of your business.
For SMBs that want to grow, Factorial offers a very well-balanced and future-ready choice. It doesn’t just handle geofencing and time tracking, but connects it to everything you need to run a business smoothly in one intuitive platform. If you’re looking for geofencing software that saves time today and scales with your business tomorrow, Factorial stands out.
To take the first step toward smarter business management, book a demo with Factorial today to see how geofencing can transform your business operations.
FAQs
- What is geofencing software and how does it work?
Geofencing software uses GPS, Wi-Fi, or Bluetooth signals to create a virtual boundary around a workplace. The software records their location when employees enter or leave this boundary and can automatically clock them in and out.
- Can geofencing track employees legally?
Currently there are few restrictions on an employer’s ability to use tracking technology during working time. However, software like Factorial ensures compliance with the laws of most countries by restricting geolocation data to the moment of clock-in and clock-out. Always make sure to check local regulations before implementing any sort of tracking technology at the workplace.
- Which geofencing apps are best for SMBs?
Factorial is specifically designed for SMBs, making it a great choice due to its combination of tools at an affordable price. This comprehensive business management platform allows you to track time, plan shifts, evaluate performance, generate reports, and much more all from a single platform.
- Can geofencing work offline or in areas with poor connectivity?
Yes, most platforms allow employees to clock in offline. The data syncs later, once the phone reconnects to the internet. This is especially important for rural areas or construction sites where internet connection may be unreliable.
- How secure is employee location data?
Employee location data is encrypted and stored securely. Factorial limits tracking to the moment employees clock in and out rather than continuous tracking to ensure privacy. You should always review vendor policies to ensure compliance with data privacy laws.
- How can geofencing integrate with payroll and HR systems?
Factorial allows you to use geofence-based timesheet entries to streamline your scheduling and payroll processes. This ensures accurate tracking and eliminates manual data entry errors. That way your team can get paid on time and without mistakes.
- What should I do if an employee disables or bypasses geofencing tracking?
Create clear workplace policies regarding time and location of work. Set clear expectations for your team and explain why geofencing is used. You can lay this out as part of your time tracking policy.
