Leave - Time Off In Lieu (Cashed Out)
Jan 20, 2025
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🎯 The reporting of payments for Time Off In Lieu (Cashed Out), are now disaggregated per the Australian Taxation Office Single Touch Payroll Phase 2 guidance. Rather than being included in Gross, Time Off In Lieu (Cashed Out) is now reported separately under Overtime.
🎯 If you are unsure if this Pay Type applies to your circumstances, please refer to the Payee's Employment Contract or obtain advice from either the Australian Taxation Office or Fair Work Ombudsman.
Time Off In Lieu (Cashed Out) is applicable when there is a written agreement to allow overtime worked to be banked as Time Off In Lieu, allowing the Payee to take paid time off instead of being paid overtime pay.
For example, under the following Awards, the Payee and the Payer may agree in writing for the Payee to take time off instead of being paid for a particular amount of overtime that has been worked;
- Real Estate Industry Award 2020.
- Horse and Greyhound Training Award 2020 [MA000008].
- Racing Industry Ground Maintenance Award 2020 [MA000014].
Payments with this Pay Type use the Rate Per Hour set in the Payee Master File, and Leave Entitlements are not applicable. These payments are considered W1 (Total of Salary, Wages, and other payments) and Taxable. However, they are not OTE (SGAA).
