This guide takes you through creating and applying a pay rule that allows team members to accrue Time Off in Lieu (TOIL) for overtime hours worked, instead of receiving a cash payment for those hours.

Before you read

• You must have System Administrator, Payroll Administrator or Advisor access in Deputy.
• This feature is currently only available as part of the Deputy Payroll (AU) product.
• If you’re new to TOIL, check out our article Get started with Time Off in Lieu (TOIL) for Deputy Payroll.

This article covers

• Pre-requisites
• Navigating to TOIL set-up 
• How to configure the TOIL accrual settings

Pre-requisites

This article assumes that the pay rates - and associated pay rules - that you'll be adding TOIL to already exist in your Pay Rate Builder, either because you're using a pay rate from our Pay Rate Builder library, or because you've created the pay rule yourself. 

If you need to create a new pay rule, you'll need to do that before continuing with this guide. Some common pay rule calculation types used with TOIL are Daily overtime and Period overtime. 

If you're new to using Pay Rate Builder, check out our Introduction to Pay Rate Builder article. 

Navigating to TOIL set-up 

1. In Pay Rate Builder, select the pay rate you want to edit 
2. Select Pay rules from the left-hand menu
3. Scroll down until you find the Time off accruals section, and click Add. 

How to configure the TOIL accrual settings

Follow these steps to configure each setting:

1. Set accrual rate: Enter the rate at which TOIL should be accrued. For example, entering 1.5 means an employee will earn 1.5 hours of TOIL for every 1 hour of eligible overtime worked. 

   

2. Select pay rules: From the drop-down, select all the overtime pay rules that should apply this TOIL accrual instead of cash payment. Note: The drop-down will only display pay rules in this pay rate that have their Rate Type set to 'Overtime' (find the pay rule's Rate Type in advanced pay settings). 
   You will need to be familiar with which rules apply based on the relevant Modern award, enterprise agreement or other industrial instrument that relates to your business. 

   

3. Apply to shifts: Choose how the rule is applied.
   • All eligible overtime shifts: Automatically converts all overtime from the selected pay rules into TOIL

   • Select per shift: Allows the employee to choose whether to take their overtime as TOIL or payment by asking them a custom question when they clock out of their shift. Any custom timesheet questions you've set up for this purpose will display in the drop-downs for you to select. If nothing is showing in this drop-down, it means you haven't yet set up your clock-out question for TOIL. 

     

4. Select the leave policy to receive time off: From the drop-down, choose the leave policy where you want the TOIL hours to be stored. Deputy's Time Off in Lieu leave policy should appear in this drop-down, along with any other custom leave policies you've created that have been assigned the leave Type 'Time in Lieu'. 

   

5. Click Save.

Need more help with TOIL? Head to the Getting started with TOIL for Deputy Payroll article for the full picture.