The 7-Minute Rule for Time Card Rounding, Explained

October 23, 2026

The "7-minute rule" is DOL's own illustration (per Fact Sheet #53, 29 CFR 785.48) of a neutral quarter-hour rounding method: minutes 1 through 7 past a quarter-hour mark round down, and minutes 8 through 14 round up to the next quarter hour.

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Worked Examples

  • Clock-in at 9:04 AM → rounds down to 9:00 AM (4 minutes is within the 1-7 minute round-down window)
  • Clock-in at 9:09 AM → rounds up to 9:15 AM (9 minutes is within the 8-14 minute round-up window)
  • Clock-out at 5:11 PM → rounds up to 5:15 PM
  • Clock-out at 5:06 PM → rounds down to 5:00 PM

Why DOL Calls This Neutral

Because the rounding window is symmetric around each quarter-hour mark (7 minutes down, 7 minutes up — with the 8th minute tipping to round up), this method rounds in the employee's favor roughly as often as the employer's favor over time, which is the neutrality standard 29 CFR 785.48 requires for any rounding practice to be permissible.

Frequently Asked Questions

What is the 7-minute rule for time card rounding?

A quarter-hour rounding method where minutes 1-7 past the mark round down and minutes 8-14 round up, per DOL's own illustration in Fact Sheet #53.

How would a 9:09 AM clock-in round under this rule?

Up to 9:15 AM, since 9 minutes falls in the 8-14 minute round-up window.

How would a 5:06 PM clock-out round under this rule?

Down to 5:00 PM, since 6 minutes falls in the 1-7 minute round-down window.

Why is this method considered neutral under DOL rules?

Because the rounding window is symmetric around each quarter hour, so it rounds in the employee's and employer's favor roughly equally over time, per 29 CFR 785.48's neutrality requirement.