A time entry and accounting system permitting employees to clock in and clock out from work at computerized time clocks located adjacent to their workstations using an individually encoded identification card. The time clock is configured to have a normally closed state and an opened state and to move between states in response to a supervisor scanning his identification card. The computerized time clocks are interactively linked to a central computer and, upon an employee clocking in or out, the central computer receives appropriate signals from the time clock, and stores information corresponding to these signals in memory. The information stored in the memory of the computer is subsequently used to develop accounting records and reports, to generate payroll data, and to send signals to the time clocks. The time clock further includes a display screen permitting the time clock to display messages in response to signals sent by the central computer and a plurality of buttons permitting an employee or supervisor to send additional information to the central computer.
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