Setting rounding rules for RTC and TotalPass time clocks
This is a letter we sent to a customer this past August, regarding her upgrade from Icon SB100Pro to Icon RTC1000.  It also applies to the TotalPass.  It is a technical support question, answered in extreme detail.  You are welcome to call us if you want help on the same issues.  The first call is free, we want your business in  the future.

Meredith,  I am fairly certain that the default setting for each individual employee is to automatically stop counting time at 4 hours for 30 minutes.  This can be changed, and it can also be disabled.  It is done on each employee, it is normally not a global setting.  To do this, you go to Lists, then Employees, then go down the list of all the employees one-by-one and check for this.  I grabbed my own file for you to review, so see the attachment.
TotalPass Punch Rounding.jpg

How it works, and why:  It accrues time until the 4, or in my case, 6 hours and 30 minutes, for that punch pair.  If I do not punch out for lunch by my 6:30 hours, it automatically stops accruing time for 30 minutes.  Then it starts again. So if I worked 8AM - 4:30 and did not punch out for lunch, I would get paid just 8 hours, not 8:30.  This is used in cases where people are too far from the clock (you could add another clock out there on the network) or if they are on the road doing deliveries, etc.  If I were to punch OUT for lunch, which is the normal case, it would then restart counting from the next IN punch, for another 6:30 hours.  In your case, it is probably stopping at 4:00 hours then starting back up (accruing pay time) at 4:30 hours.

Taking it a step further, to be clear: Rounding will not cause it.  Let's discuss rounding and also lock-outs.
Rounding brings them up to the nearest 15 minutes, eliminating lines at the clock and making the reports much easier to work with.  Rounding is legal, because rounding is fair.  If you go in to Settings > Preferences > Punch, you will see Punch Preferences.  We normally recommend standard 15 minute rounding and not Slant 5/10.  But it's an individual preference. More on this in a moment.
You will see the next line, Automatic Punches become IN at.. I would set that at 14 hours.  I would check yes to Flag edits on reports.
If you want to enforce that they take all of their lunch time and don't punch back in early (to "milk the clock" and beat the system), set Reject Like Punches within...  25 minutes.   So if I punched OUT at 11:59AM, I could not punch back IN until 12:24, at which point 15 minute rounding would then "round" my punch up to 12:30.  Think about this...  I am also fairly certain that if you use Slant Rounding [5/10] it would pay me from 12:15, rounding BACK. 
Lastly, now that you have the upgrade to RTC level, you have departments.  When you assign people to departments, you can also set up rules for those departments.  I THINK this is included with the upgrade, not 100% positive...  Click on Departments.  Now click on a particular department.  I believe you will see this screen:
 TotalPass Departaments.jpg


Download the screen shots (the attachments), this should help.  If not, call us, or call Icon.  And please refer us to a friend!