PTO Calculator

PTO accrual is the process of earning paid time off gradually over time rather than receiving all days at once. For example, with a rate of 15 days per year paid biweekly, you earn approximately 0.577 days every two weeks (15 ÷ 26 pay periods). Most companies use per-pay-period accrual to align PTO with time worked.

PTO payout is typically calculated as: PTO Days × Daily Rate, where Daily Rate = Annual Salary ÷ 260 (number of working days in a year). For example, 10 days of PTO on a $75,000 salary = 10 × ($75,000 ÷ 260) = $2,884.62.

PTO (Paid Time Off) is an umbrella term that combines vacation, sick days, and personal days into a single bank. Employees use it for any reason. Some employers keep separate buckets — a set number of vacation days for planned time off plus separate sick days for illness. Unlimited PTO means no formal accrual but in practice often results in employees taking less time off.

Accrual-based: you earn PTO gradually over time. Lump-sum: all PTO is granted at the start of the year (or on hire anniversary). Unlimited PTO: no formal limit, but usage norms apply. Frontloaded: similar to lump-sum but the full year balance is given upfront. Each model has different implications for carryover rules and payout upon termination.

It depends on your state and employer policy. States like California, Colorado, and Illinois require employers to pay out accrued but unused PTO upon termination. Many other states allow employers to forfeit unused PTO if stated in writing. Always check your employee handbook and state labor laws.