Excel: free, but at what cost?

Many small businesses and freelancers start with Excel for time tracking. That is understandable: it is free, familiar, and flexible. But as your team or project portfolio grows, the limitations quickly become apparent.

Comparison of Excel timesheet versus PrikKlokPlus dashboard — clear difference in overview and functionality

What Excel does well

  • Free to use (via Microsoft 365 or LibreOffice)
  • Highly customisable to your own workflow
  • No learning curve for basic use
  • Works offline

Where Excel falls short

Once multiple people are logging hours, the drawbacks become visible quickly:

  • No real-time collaboration: who has the latest version? Who changed something?
  • No approval workflow: you cannot track whether a manager has approved hours
  • No automatic invoicing: you must manually build an invoice from the timesheet
  • No project linking: connecting hours to clients and projects requires manual formulas
  • Error-prone: a missed cell or wrong formula produces an incorrect invoice
  • No reporting: insight per employee or project requires manual pivot tables

What time tracking software offers

Specialised software solves all of these problems:

  • Centralised data: everyone works in the same system, always up to date
  • Approval workflow: employees submit hours, managers approve with one click
  • Direct invoicing: approved hours are automatically converted into a PDF invoice
  • Project management: link hours to projects, tasks, and clients
  • Reporting: direct insight into utilisation, project profitability, and billable hours

When is Excel still fine?

Excel works well if you are a sole trader with at most two or three clients and no complex invoicing needs. As soon as you manage a team or regularly invoice by the hour, switching to specialised software is worth it — especially when that software starts for free.

Flowchart: when is Excel enough and when should you switch to time tracking software?

Conclusion

The choice is simple: Excel for the smallest situations, time tracking software once your team or client portfolio grows. PrikKlokPlus is free for the first user — try it without risk.