Modern Awards and Agreements may allow for employee’s to have a Rostered Day Off (RDO) once a month or receive time off taken at a later date in lieu of being paid overtime. This arrangement works on an accrual basis so you will be required to set up tracking of RDO and TIL in Tanda to ensure it connects to your MYOB account correctly.

TIL/RDO Entitlement Based Off Hours from Timesheet

If you want TIL/RDO to be calculated based on Timesheet in Tanda, you'll need to create two Wage Categories and one Entitlement Category in MYOB:

Step One: Create wage category for accrual 

  1. Go to the Payroll command centre and click Payroll Categories. 
  2. Click the Wages tab and then click New.
  3. Name the new category Time in Lieu - Earned or RDO - Earned
  4. For the Type of Wages select the Hourly option.
  5. For the Pay Rate, select Fixed Hourly Rate of $0.00
  6. Click Employee and select all employees who are eligible for time in lieu and then click OK.
  7. Click OK.

Step Two: Create a Wage Category for when RDO/TIL is taken

  1. In the Payroll Categories List window, click the Wages tab, and then click New.
  2. Name the new category Time in Lieu - Taken or RDO - Taken
  3. For the Type of Wages, select the Hourly option.
  4. For the Pay Rate, select Regular Rate Multiplied by 1.0000.
  5. Select the Automatically Adjust Base Hourly or Base Salary Details option. This will ensure that any hours allocated to this wage category will automatically be deducted from the employee's base wages. 
  6. Click Employee and select all employees who are eligible for time in lieu and then click OK.
  7. Click OK.

Step Three: Create an Entitlement Category for:

  • Time in Lieu balances
  • RDO balances
  1. In the Payroll Categories List window, click the Entitlements tab and then click New.
  2. Name the new category Time in Lieu Accrual or RDO Accrual
  3. Set the Calculation Basis to Equals [100%] Percent of [Time in Lieu - Earned] or [RDO - Earned].
  4. Set the Linked Wage Category to [Time in Lieu - Taken] or [RDO - Taken].
  5. (Optional) If you want accrued time in lieu to show on employee pay slips, select the option Print on Pay Advice.
  6. Click Employee and select all employees who are eligible for time in lieu and then click OK.
  7. Click OK.

RDO Entitlement Calculated in MYOB

If you want TIL/RDO calculation to occur once the Timesheet has been exported from Tanda, you'll only need to set up one Wage Category and one Entitlement Category:

Step One: Create RDO Wage Category

  1. Go to the Payroll command centre and click Payroll Categories.
  2. Click the Wages tab and then click New.
  3. Name the new category RDO Paid.
  4. Set the Type of Wages to Hourly.
  5. For the Pay Rate select the Regular Rate Multiplied by 1.0000 option.
  6. Select the Automatically Adjust Base Hourly or Base Salary Details option.

Step Two: create an RDO Entitlement Category

  1. In the Payroll Categories List window, click the Entitlements tab and then click New.
  2. Name the new category RDO Accrual - Hourly.
  3. Set the Calculation Basis to Equals [x] Percent of [Gross Hours]
  4. Set the Linked Wages Category to RDO Paid
  5. Click Employee and select the hourly-based employees who are entitled to RDOs, then click OK.
  6. Click OK

How to set up RDO/TIL in Tanda?

TIL:

TIL accrued by an employee is based on hours that would typically be paid at overtime rates of pay. For example, the employee may have worked over 38 hours in the week or over 10 hours in shift.

Accrual:

Create this in Tanda by going to Payroll > Award Rules > Create Award Rule. Below are specific areas on this Award Rule Building form in Tanda that needs to be filled out to connect to MYOB.

  • Name: TIL Accrual
  • Condition: set whether TIL accrues after number of hours or days worked
  • Under What Rate is it paid at: enter multiplier 0
  • Export name: Time in Lieu - Earned
  • Do not select "Export this time as a TOIL or RDO accrual in Xero" as this is not required for MYOB. 

Leave:

Go to Payroll > Leave Types > Create Leave Type

  • Name: TIL Taken or RDO Taken
  • Export name: [Time in Lieu] - Taken
  • Multiplier: 1

RDO:

For example, the employee will work 40 hours each week and two hours of each week will accrue towards one Rostered Day Off each month. This means that each day the employee will accrue 0.4 hours towards an RDO.

Accrual:

Create this in Tanda by going to Payroll > Award Rules > Create Award Rule. Below are specific areas on this Award Rule Building form in Tanda that needs to be filled out to connect to MYOB.

  • Name: RDO Accrual
  • Condition: as employees work 7.6 hours each day, RDO should apply after 8 hours have been worked. 0.4 of each 8 hours worked per day will accrued towards the RDO
  • Under What Rate is it paid at: enter multiplier 0
  • Export name: RDO - Earned
  • Do not select "Export this time as a TOIL or RDO accrual in Xero" as this is not required for MYOB. 

Leave:

Go to Payroll > Leave Types > Create Leave Type

  • Name: RDO Taken
  • Export name: [RDO - Taken] or [RDO Paid] (if the accrual calculation is done in MYOB)
  • Multiplier: 1

Check that it is applying in Tanda by checking the Timesheet Export Summary. 

If you encounter any issues, please contact Tanda Support on 1300 859 117 or support@tanda.co

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