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antigravity-skills-reference/skills/odoo-hr-payroll-setup/SKILL.md

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---
name: odoo-hr-payroll-setup
description: "Expert guide for Odoo HR and Payroll: salary structures, payslip rules, leave policies, employee contracts, and payroll journal entries."
risk: safe
source: "self"
---
# Odoo HR & Payroll Setup
## Overview
This skill guides HR managers and payroll accountants through setting up Odoo HR and Payroll correctly. It covers salary structure creation with Python-computed rules, time-off policies, employee contract types, and the payroll → accounting journal posting flow.
## When to Use This Skill
- Creating a salary structure with gross pay, deductions, and net pay.
- Configuring annual leave, sick leave, and public holiday policies.
- Troubleshooting incorrect payslip amounts or missing rule contributions.
- Setting up the payroll journal to correctly post to accounting.
## How It Works
1. **Activate**: Mention `@odoo-hr-payroll-setup` and describe your payroll scenario.
2. **Configure**: Receive step-by-step setup for salary rules and leave allocation.
3. **Debug**: Paste a salary rule or payslip issue and receive a root cause analysis.
## Examples
### Example 1: Salary Structure with Deductions
```text
Menu: Payroll → Configuration → Salary Structures → New
Name: US Employee Monthly
Payslip Code: MONTHLY
Rules (executed top-to-bottom — order matters):
Code | Name | Formula | Category
----- | ---------------------- | ------------------------------ | ---------
BASIC | Basic Wage | contract.wage | Basic
GROSS | Gross | BASIC | Gross
SS | Social Security (6.2%) | -GROSS * 0.062 | Deduction
MED | Medicare (1.45%) | -GROSS * 0.0145 | Deduction
FIT | Federal Income Tax | -GROSS * inputs.FIT_RATE.amount| Deduction
NET | Net Salary | GROSS + SS + MED + FIT | Net
```
> **Federal Income Tax:** The standard Odoo US localization does not expose a single `l10n_us_w4_rate` field. Use an **input** (salary input type) to pass the withholding rate per employee, or install a community US payroll module (OCA `l10n_us_hr_payroll`) which handles W4 filing status properly.
### Example 2: Configure a Time Off Type
```text
Menu: Time Off → Configuration → Time Off Types → New
Name: Annual Leave / PTO
Approval: Time Off Officer
Leave Validation: Time Off Officer (single approver)
or: "Both" for HR + Manager double approval
Allocation:
☑ Employees can allocate time off themselves
Requires approval: No
Negative Balance: Not allowed (employees cannot go negative)
Then create initial allocations:
Menu: Time Off → Managers → Allocations → New
Employee: [Each employee]
Time Off Type: Annual Leave / PTO
Allocation: 15 days
Validity: Jan 1 Dec 31 [current year]
```
### Example 3: Payroll Journal Entry Result
```text
After validating a payroll batch, Odoo generates:
Debit Salary Expense Account $5,000.00
Credit Social Security Payable $310.00
Credit Medicare Payable $72.50
Credit Federal Tax Payable (varies)
Credit Salary Payable $4,617.50+
When net salary is paid:
Debit Salary Payable $4,617.50
Credit Bank Account $4,617.50
Employer taxes (e.g., FUTA, SUTA) post as separate journal entries.
```
## Best Practices
-**Do:** Install your country's **payroll localization** (`l10n_us_hr_payroll`, `l10n_mx_hr_payroll`, etc.) before building custom rules — it provides pre-configured tax structures.
-**Do:** Use **salary rule inputs** (`inputs.ALLOWANCE.amount`) to pass variable values (bonuses, allowances, withholding rates) rather than hardcoding them in the rule formula.
-**Do:** Archive old salary structures rather than deleting them — active payslips reference their structure and will break if the structure is deleted.
-**Do:** Always set an active **Employee Contract** with correct dates and salary before generating payslips.
-**Don't:** Manually edit posted payslips — cancel and regenerate the payslip batch if corrections are needed.
-**Don't:** Use `contract.wage` in deduction rules without verifying whether the structure is monthly or annual — always check the contract wage period.
## Limitations
- **Odoo Payroll is Enterprise-only** — the Community Edition does not include the Payroll module (`hr_payroll`).
- US-specific compliance (W2, 941, state SUI/SDI filing) requires additional modules beyond the base localization; Odoo does not generate tax filings directly.
- Does not cover **multi-country payroll** (employees in different countries require separate structures and localizations).
- **Expense reimbursements** via payslip (e.g., mileage, home office) require a custom salary rule input and are not covered in standard HR Payroll documentation.