PTO (Paid Time Off)
A combined bank of paid leave days employees can use for any purpose.
Definition
Paid Time Off (PTO) is a human resources policy that provides employees with a bank of hours they can use for vacation, personal time, sick days, or any other purpose. Unlike traditional leave policies that separate vacation, sick, and personal days, PTO combines all paid leave into one flexible pool. Employees typically accrue PTO based on hours worked or tenure.
Examples
- • An employee with 80 hours of PTO can use it for a week-long vacation, doctor appointments, or mental health days
- • PTO accrual of 1 hour per 40 hours worked equals approximately 52 hours per year for full-time employees
Quick Facts
- Term
- PTO (Paid Time Off)
- Category
- Leave Types
Related Terms
Helpful Resources
Explore More Terms
Sick Leave
Paid or unpaid time off for illness or medical needs.
Vacation Leave
Paid time off specifically for rest and recreation.
Personal Leave
Time off for personal matters not covered by other leave types.
Floating Holiday
A paid day off employees can use at their discretion.
Safe Leave
Time off for domestic violence, sexual assault, or stalking situations.
Sabbatical
Extended leave for rest, travel, research, or personal development.
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