Time Off In Lieu or TOIL allows an employee to work overtime, and instead of being paid additional remuneration for working such overtime, the Employee is granted paid time off work by their Employer, to the equivalent of the overtime worked.

Accruing Time Off in Lieu

Time Off in Lieu is accrued on an ad hoc basis in the instance that an Employee works additional hours and then chooses to take time off instead of getting paid (or the Employer does not wish to pay overtime).

Set up Time Off in Lieu

1. From the Organisation Menu go to Settings > Payroll settings
2. Select the [Pay Items] > [Leave] Tab
3. Click on [Add] > Paid Leave
   
   è  The Leave Type screen opens
   
   
   
4. Select/Enter the following details:
   • Leave Name > Type: Time off in lieu
   • Type of units > Type: Hours
   • Leave Loading Rate > Leave Blank
   • Normal entitlements > Leave Blank
   • Show Balance on payslip > Select this option
5. Click on [Add]

Set up Time Off in Lieu to track on Timesheets

To include Time Off in Lieu when processing Timesheets, an additional Pay Item must be created.

1. From the Organisation Menu go to Settings > Payroll Settings
2. Click on the [Pay items] > [Earnings] Tab
3. Click on [Add] > Overtime Earnings
   
   è  The Pay Item screen opens
   
        
   
   
4. Select/Enter the following details:
   • Earnings Name > Enter: Time off in Lieu Earned
   • Display Name  > Enter: Time off in Lieu Earned
   • Rate Type> Select: Rate Per Unit
   • Type of Units > Select: Hours
   • Rate per Unit > Enter: 0.00
   • Expense Account > Select: Employees - Wages & Salaries
   • Exempt from PAYG > Leave blank
   • Exempt from Super > Leave blank
   • Reportable as W1 > Leave blank
5. Click on [Add]

Assign the Time Off in Lieu Leave Type to an Employee

1. Go to Payroll > Employees
2. Open the employee and click on the [Leave] Tab
   
   è  The Employee screen opens
   
   
3. Click on [Assign Leave Type]
   
   è  The Assign Leave type screen opens
   
   
   
   
4. Select/Enter the following details:
   • Leave > Select: Time Off in Lieu
   • Leave Calculation Method > Manually Recorded Rate
   • Hours > Leave Blank
   • On Termination unused balance is > Select: Paid Out
   • ETP leave type > Select this option
   • Includes Superannuation Guarantee Contribution > Do not select this option
5. Click on [Save]