How to set up rdo (rostered day off) [xero]

Updated: 27/01/2022
Article #: 228


RDO or Rostered Day Off is a rostered period that an employee receives when they have worked more hours than they are meant to. For example, 8 hours per day, 5 days per week. Employees working more than 38 hours per week are provided with a paid Additional Day Off so that the hours that they work average out to 38 per week.

Accruing Rostered Days Off

RDO is accrued as a fixed periodical time per pay run: this consists of the difference between the daily hours established in the employment agreement and the hours worked. In this User Guide, the example is set for a 7.6-hour day but 8 hours worked per day.

Alternatively, when additional time worked is accrued on the ad hoc basis (flexible), 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) in this case this arrangement is defined as Time Off in Lieu.

Set up Rostered Day Off (RDO)

  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: Rostered Day Off (RDO)
    • 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]

Assign the Rostered Days Off 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: Rostered Day Off (RDO)
    • Leave Calculation Method > Manually Recorded Rate
    • Hours > Type: (based on the example of an 8-hour workday 7.6 OTE and 0.4 RDO Earned for a weekly pay run)
    • On Termination unused balance is > Select: Paid Out
    • ETP leave type > Select this option
    • Includes Superannuation Guarantee Contribution > Select this option
  5. Click on [Save]






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