The two ways PTO accrues
Almost every paid time off policy uses one of two methods, and this calculator handles both.
Per pay period
You earn a fixed number of hours each time you are paid, regardless of how much you worked. Divide the annual allowance by the number of pay periods in a year: weekly is 52, bi-weekly is 26, semi-monthly is 24 and monthly is 12.
Example. 120 hours of PTO a year, paid bi-weekly. 120 ÷ 26 = 4.62 hours accrued each paycheck. After 13 pay periods — half a year — you have earned about 60 hours.
Per hour worked
You earn a fraction of an hour of PTO for every hour on the clock. Divide the annual allowance by the annual hours: 120 hours over a standard 2,080 hour year gives 0.0577 hours of PTO per hour worked, or roughly one hour of PTO for every 17 hours worked.
This method is the fairer one for part-time and variable-hours staff, because it pro-rates itself automatically. Someone working half the hours earns half the PTO without anyone having to adjust a rate.
Accrued versus available
These are not always the same number. Accrued PTO is everything you have earned. Available PTO is what you can actually book right now. They diverge when a policy imposes a waiting period for new hires, caps the balance, or lets you take time before it is earned.
Accrual caps and carryover
Many employers cap how much PTO you can hold. Once you hit the cap you stop accruing until you use some, which is sometimes described as a "use it or lose it" policy — though several states restrict those, treating accrued vacation as earned wages that cannot be forfeited. Enter your cap above to see the effect on your balance.
Accrual rate lookup
Hours earned each pay period, for the most common allowances and pay frequencies. Find your annual allowance on the left and read across to your pay frequency.
| Annual allowance | Weekly (52) | Bi-weekly (26) | Semi-monthly (24) | Monthly (12) |
|---|---|---|---|---|
| 40 hrs (1 week) | 0.77 | 1.54 | 1.67 | 3.33 |
| 80 hrs (2 weeks) | 1.54 | 3.08 | 3.33 | 6.67 |
| 120 hrs (3 weeks) | 2.31 | 4.62 | 5.00 | 10.00 |
| 160 hrs (4 weeks) | 3.08 | 6.15 | 6.67 | 13.33 |
| 200 hrs (5 weeks) | 3.85 | 7.69 | 8.33 | 16.67 |
A full-time year is normally taken as 2,080 hours, so one week of PTO is 40 hours, two weeks is 80, and so on. If your standard week is not 40 hours, scale accordingly.
Waiting periods
Many policies make new hires wait before they can use PTO, typically 30, 60 or 90 days. There are two quite different versions of this and it is worth knowing which one you are on:
- Accrue but cannot use. You build a balance from day one and it unlocks at the end of the waiting period. Nothing is lost.
- Do not accrue at all. Accrual itself only starts once the period ends, so those first weeks earn you nothing.
Enter what you have genuinely earned as the starting balance above to keep the figure honest.
Caps, carryover and rollover
A cap is a ceiling on your total balance. Once you reach it you stop accruing until you use some time, which quietly costs you the accrual you would otherwise have earned. Carryover is how much you may take into the next year, and it is often lower than the cap.
Some employers operate "use it or lose it", zeroing unused time at year end. Several states restrict this, treating accrued vacation as earned wages that cannot simply be taken away — California, Colorado, Montana and Nebraska are the states most commonly identified as prohibiting forfeiture. Those states generally still allow a reasonable accrual cap, because a cap stops you earning more rather than removing what you already have.
Payout when you leave
Federal law is silent here: the Fair Labor Standards Act does not address vacation pay at all, so this is entirely a matter of state law and your employer's written policy.
A number of states require accrued, unused vacation to be paid out on separation regardless of what the handbook says. Those commonly listed are California, Colorado, Illinois, Indiana, Louisiana, Maine, Massachusetts, Nebraska and North Dakota. In the remaining states, your written policy governs — a clear promise to pay out is generally enforceable, while silence usually means no payout.
Your entitlement follows where you work, not where your employer is headquartered. This matters for remote employees, and state rules change — treat this as a starting point and confirm with your state labour department.
PTO, vacation and sick leave
These are not interchangeable, and the distinction affects both your balance and your rights:
- Consolidated PTO puts vacation and sick time in one bank you can use for anything. Simpler, and usually more likely to be paid out on separation because it is hard to separate the vacation portion.
- Separate vacation and sick banks keep them apart. Vacation is more often payable on separation; sick leave frequently is not.
- Statutory paid sick leave exists in many states and cities with its own accrual and carryover rules, which sit on top of whatever your employer offers voluntarily.
If your employer runs separate banks, run this calculator once per bank rather than lumping them together.
Converting hours to days
Most policies track PTO in hours because it is more precise for part days. To see it in days, divide by the length of your standard workday. The calculator assumes 8 hours; if you work 7.5 or 10 hour days, adjust accordingly — 120 hours is 15 days at 8 hours, but only 12 days at 10 hours.
Related tools
To work out the hours behind an accrual figure, use the hours calculator or the time card calculator.
Common questions
How do I calculate PTO accrual per pay period?
Divide your annual PTO hours by the number of pay periods in your year. For 120 hours paid bi-weekly, that is 120 divided by 26, which is 4.62 hours per paycheck.
How much PTO is 2 weeks?
Two weeks of PTO for a full-time employee is normally 80 hours, based on a 40 hour week. Three weeks is 120 hours and four weeks is 160 hours.
How much PTO do I accrue per hour worked?
Divide your annual allowance by your annual hours. For 120 hours over a 2,080 hour year that is 0.0577 hours of PTO per hour worked, or roughly one hour of PTO for every 17 hours on the clock.
How do I calculate PTO for a part-time employee?
Use the per hour worked method. Divide the annual full-time allowance by 2,080 to get an hourly accrual rate, then multiply by the hours the employee actually works. This pro-rates automatically.
What is the difference between accrued and available PTO?
Accrued PTO is everything earned to date. Available PTO is what you can currently book, which may be lower because of a waiting period for new hires or an accrual cap.
Can my employer take away PTO I have already earned?
It depends where you work. California, Colorado, Montana and Nebraska are commonly identified as prohibiting forfeiture of accrued vacation, treating it as earned wages. Other states permit use-it-or-lose-it policies if clearly disclosed. Check your state labour department and your written policy.
Does my employer have to pay out unused PTO when I leave?
There is no federal requirement. Several states including California, Colorado, Illinois, Massachusetts and Nebraska require payout of accrued vacation by statute. Elsewhere your employer policy governs.
What is an accrual cap?
A ceiling on your total balance. Once you hit it you stop earning more until you use some time. It is different from carryover, which limits how much you can take into a new year.
Is PTO the same as vacation?
Not necessarily. Consolidated PTO combines vacation and sick time into one bank. Where they are kept separate, vacation is more often payable on separation while sick leave frequently is not.