Settlements

Settlements covers the money events outside the normal monthly run — end-of-service (EOSB), vacation and business-trip settlements, loans, and earned-wage access — calculated to Saudi labor law and posted to payroll and the ledger.

End-of-service (EOSB)

When an employee is offboarded (see Employee Hub), XO opens a final settlement.
XO computes EOSB per Saudi labor law from service length, last wage, and reason for leaving.
It nets in outstanding loans, unused leave, and dues.
Review the breakdown, route it for approval, then pay and post.

📷 Screenshot: an EOSB breakdown showing service years, award, and net payable.

Vacation settlement

Pay leave salary in advance of a long vacation: XO calculates the leave-period salary and settles it, then reconciles against the monthly run.

Business-trip settlement

Create a business-trip request with per-diem and advances.
After the trip, reconcile actual expenses vs advance and settle the difference.

Expense-claim settlement

Approved expense claims flagged for payroll flow here and into the next run as reimbursements (see Expenses & Claims).

Loans

Set up a loan for an employee with amount, instalments, and start date.
XO deducts instalments automatically each payroll; you can skip an instalment for a cycle.
On offboarding, the outstanding balance is netted into the final settlement.

Earned-wage access

Let employees draw a portion of already-earned salary before payday; XO tracks the advance and recovers it in the cycle.

Best practices

Reconcile loans before each payroll and before any final settlement.
Route EOSB through approval — it’s a high-value, audit-sensitive calculation.
Settle business-trip advances promptly so custody doesn’t linger.

Troubleshooting

EOSB looks wrong. Check service dates, last wage components, and reason for leaving (resign vs terminate changes the award).
Loan still deducting after payoff. Confirm the loan is closed; check for a duplicate loan.