TOIL (Time Off in Lieu) is paid time off granted to an employee in place of payment for overtime. When someone works beyond their contracted hours, the employer compensates them with equivalent time off rather than extra pay, usually at a 1:1 ratio — one hour worked earns one hour off.

TOIL is common across the UK, EU, Australia, and Singapore, particularly where overtime pay is impractical or where employees value flexibility. A clear policy should define how TOIL is accrued, any cap on how much can be banked, and a deadline by which it must be used before it expires.

The main risk with TOIL is losing track of balances in spreadsheets or inboxes. Logging earned and used hours in Calamari's Time & Attendance module keeps the calculation transparent for both employee and manager and prevents banked time from being forgotten.