Higgo was only seconds late for his 7.18am tee time at Aronimink Golf Club in Pennsylvania and ended the day just two shots off the lead with a one-under-par 69.
The two-time PGA Tour winner would have been in an eight-way share of the lead with world No.1 Scottie Scheffler and Australian Min Woo Lee, among others, had he been on time to play with Americans Shaun Micheel and Michael Brennan.
The 27-year-old was on the practice putting green but not within the area defined as the starting point at his starting time.
Thankfully for Higgo, he arrived at the tee within five minutes of his scheduled tee time. Had he shown up later, he would have been disqualified from the tournament.
"If you know me, then you know I am very casual and laid back," Higgo said. "I thought I had time. I was obviously too casual, yeah.
"If anything, I could have added maybe five minutes for the walk from the range to the tee," he added. "I just cut it a little fine."
While he pleaded his case for leniency in the scorers' hut, Higgo was still glad the punishment was not heavier.
"I was just happy they allowed me to tee off," he said. "I was bummed when he said I had a two-shot penalty. I just said to myself, it's going to be a great opportunity to shoot a low score."