Some award and agreements allow for an employee and an employer to agree for time off to be taken instead of being paid overtime pay. This is known as 'time in lieu', 'time off in lieu' or 'TOIL'.

When TOIL can apply and how it is calculated will depend on the award or agreement. This guide will go through how to create 'time for time' rules, where the period of time off that an employee is entitled to take is the same as the number of overtime hours worked. 

TOIL Accrued - Time for time

TOIL accrued is tracked through award rules. Head to https://my.tanda.co/awards to create your award rules, keeping in mind best practices for creating award rules.

When building the rules, enter the conditions that trigger TOIL accrual (e.g. after 38 hours in a week, or after 8 hours in a day). If overriding a template, the conditions will need to either be the same or more specific than the overtime rules currently applying to the staff member.

Tip: If systematic TOIL accrual is not desired, the best approach would be to set the rule to apply to 'Specific Shifts' with an Award tag that represents TOIL Accrued. Staff profiles and shifts on the timesheet would then need to be tagged to be calculated as TOIL Accrued. 

The Award tag drop-down is only visible when enabled under Settings > Timesheets > Advanced

Then, under outcomes, ensure the rate has been entered as '0' and 'Export this time as a TOIL or RDO accrual' has been ticked. This will ensure the hours are considered an accrual and will not be paid. Hours will be paid when TOIL is taken.

TOIL Taken

When accrued TOIL is taken, this would be treated like any other leave in that you'd have a Leave Type created and leave request submitted.

A 'TOIL Taken' leave type can be created at https://my.tanda.co/awards/leave. Generally this leave would be considered 'ordinary' hours and cost at a 1.0 pay rate multiplier. 

Integrate with Payroll

How to integrate TOIL recorded in Tanda with your payroll will depend on the system. For how to integrate TOIL with Xero, see this article. For how to integrate TOIL with MYOB, see this article.

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