Setup Pay Items and Employee Templates in Xero

Overview

Before timesheets can be successfully sent from Astalty to Xero, you need to ensure that the correct Pay Items and Employee Pay Templates are configured in Xero.

Pay Items define the different types of earnings employees can receive, such as ordinary hours, overtime, or allowances. When timesheets are exported from Astalty, the hours worked are mapped to these Pay Items so they can be processed correctly in Xero payroll.

Completing this setup ensures that when timesheet data is exported from Astalty, the hours will map correctly to the appropriate earnings categories in Xero.

Configure Pay Items in Xero

Pay Items define the different types of pay employees receive — such as Ordinary Hours, Overtime, Weekend Rates, Public Holiday Rates, and Allowances. These must be set up in Xero so Astalty can correctly map scheduled hours to the appropriate payroll categories.

The steps to create Pay Items are the same regardless of which method you use. What differs is the value you enter for each Pay Item:

• Rate Per Unit — enter the fixed dollar rate per hour for each pay classification. To assist, we've created a SCHADS Checklist with example figures for Pay Classification Level 2, Pay Point 1. We recommend reviewing these against the official Pay Guide to ensure accuracy.
• Multiplier — enter the appropriate multiplier for each earnings type. We recommend using the SCHADS Checklist to identify the correct multiplier for each earnings rate based on the Social, Community, Home Care and Disability Services Award (SCHADS).

You will need to create Pay Items for each Pay Point, however Allowances remain consistent across Pay Points and only need to be set up once.

Ensure that all pay rates used within Astalty Scheduling have a corresponding Pay Item in Xero.

To configure Pay Items in Xero:

1. Log in to Xero.
2. Navigate to Payroll and select Payroll Settings.

1. Open the Pay Items tab.
2. Click Add or edit Pay Items as required.

Setup Employee Pay Templates

Once your Pay Items are configured, you will need to review each employee's Pay Template in Xero.

The Pay Template defines the default payroll settings for an employee, including their ordinary hours rate, deductions, superannuation, and reimbursements. When timesheets are exported from Astalty, the hours worked are sent to Xero and matched to the appropriate Pay Items.

Any Deductions, Superannuation, or Reimbursement lines should be configured according to the employee's employment contract. Steps 3 onwards are the same for both methods — the key difference is what you enter in the Ordinary Hours rate field.

Rate Per Unit Method

Because the Pay Items carry the correct rate for each shift type, the Ordinary Hours rate in the employee's Pay Template should be left blank. The hours will be populated automatically when timesheet data is imported from Astalty.

To review an Employee Pay Template (Rate Per Unit):

1. In Xero, navigate to Payroll → Employees.

1. Select an employee and open the Pay Template tab.
2. Confirm that the Ordinary Hours rate is blank.
3. Review any Deductions, Superannuation, or Reimbursement lines to ensure they reflect the employee's contract.
4. Click Save if any updates are made.

Repeat this process for all employees who will have timesheets exported from Astalty.

Multiplier Method

Under the Multiplier Method, you need to enter the employee's full-time equivalent base rate in the rate field — for both casual and permanent staff. The multipliers configured on each Pay Item will automatically add casual loading and other adjustments on top of this base rate.

To review an Employee Pay Template (Multiplier Method):

1. In Xero, navigate to Payroll → Employees.
2. Select an employee and open the Pay Template tab.
3. Enter the employee's full-time equivalent base rate in the Ordinary Hours rate field.
4. If needed, add one cent to the base rate to account for Xero's four decimal place rounding.
5. Review any Deductions, Superannuation, or Reimbursement lines to ensure they reflect the employee's contract.
6. Click Save.

Repeat this process for all employees who will have timesheets exported from Astalty.

Setting up Pay Items Video Walk-Throughs

Rate Per Unit Method

In this video, we demonstrate how to create Pay Items in Xero using the Rate Per Unit Method.

Multiplier Method

In this video, we demonstrate how to create Pay Items in Xero using the Multiplier Method.

Setting up Employee Pay Templates Video Walk-Throughs

Rate Per Unit Method

In this video, we walk through how to review and configure Employee Pay Templates in Xero using the Rate Per Unit Method.

Multiplier Method

In this video, we walk through how to configure Employee Pay Templates in Xero using the Multiplier Method.

Next Steps

You're now ready to map your Pay Groups and Employees in Astalty. Click here for the guide.