Basic Setup In some situations, it may be necessary to automatically remove time from a shift for the purpose of an RDO. Below is an example of how this can be done using Smart Formulas. In this scenario, employees usually work 8 hours, but should only be paid for 7.6 hours. Any time above 8 hours should be paid as overtime as usual. This can be handled using three rules as follows: Note - the number is essential as it determines the order the rules are applied. The setup of the second rule in Xero is as a multiple of 0 x Ordinary Earnings Rate: https://malcolm-en-gb.s3.eu-west-1.amazonaws.com/instances/j0x2GOjMS3/resources/sepaxXzHeB/RDO%20Setup.png (RDO Setup) When the pay items are added to the Employee Pay Template and the Smart Formulas are refreshed in UpSheets they are as below: https://malcolm-en-gb.s3.eu-west-1.amazonaws.com/instances/j0x2GOjMS3/resources/hDtxk8EsLo/RDO%20Smart%20Formulas.png (RDO Smart Formulas) After validating a file, the shifts are broken into the components: https://malcolm-en-gb.s3.eu-west-1.amazonaws.com/instances/j0x2GOjMS3/resources/9jKMDiR4tF/RDO%20Processed.png (RDO Processed) The resulting payslip has the RDO total and no pay: https://malcolm-en-gb.s3.eu-west-1.amazonaws.com/instances/j0x2GOjMS3/resources/SLsckrEicp/RDO%20Payslip.png (RDO Payslip) Setup with Automatic Leave Accrual If you also want to create a leave accrual for the RDO line, this can be achieved by: adding [LA] to the pay item name you wish to base the accrual on making sure the name of the pay item matches the name of the leave type assigning the pay item to the employee pay calendar assigning the leave type to the employee When importing the smart formulas from Xero, the link will be visible as it is for RDO below: https://malcolm-en-gb.s3.eu-west-1.amazonaws.com/instances/j0x2GOjMS3/resources/JQLXvr29ep/rdo_leave_type.png (rdo_leave_type) After uploading the timesheet lines as usual, a new option will be available to Validate Adjustments. Clicking this will show a line for each employee/leave accrual. Click Upload to Xero to add this to the payslip. https://malcolm-en-gb.s3.eu-west-1.amazonaws.com/instances/j0x2GOjMS3/resources/jZDT2Tf9Rn/rdo_upload.png (rdo_upload)