Updated · Built and checked by the PlinzoTools team, formulas tested against published sources
Calculate the dollar payout for accrued, unused PTO hours at a given hourly rate.
This tool calculates accrued PTO hours × hourly rate to estimate a payout for unused paid time off, commonly relevant when leaving a job. Whether PTO payout is required by law varies significantly by state -- some states legally require it, others leave it to employer policy -- so verify your specific state's rule and your employer's policy before relying on this figure.
Enter your accrued, unused PTO hours and your hourly rate. Your estimated payout appears instantly.
The calculator multiplies your unused accrued PTO hours by your hourly rate. That is the entire formula, and it produces a gross amount before taxes. Payouts of accrued leave are generally treated as wages, so withholding is typically taken out just as with a regular paycheck. Some employers withhold bonus-style flat rates on such payments, which is why the amount deposited can look smaller than you expected.
Payout = accrued unused PTO hours x hourly rate
Suppose a departing employee has 84 hours of accrued unused PTO and earns 32 per hour. Payout is 84 times 32, which is 2,688 before taxes. If the employee's PTO is tracked in days instead of hours, convert first: 10.5 days at 8 hours each is 84 hours. If the employee works four 10-hour days, a day of PTO may equal 10 hours in the employer's system, so the conversion depends on how the plan defines a day.
Whether an employer must pay out unused PTO on separation depends on the state and on the written policy. In some states accrued vacation is treated as earned wages and must be paid; in others it is a matter of employer policy or contract. Rules can also differ for use-it-or-lose-it policies, for sick leave versus vacation, and for the deadline by which final pay must be delivered. Because these rules vary and change, check your state labor department and your handbook rather than treating the calculator result as an entitlement. If you believe you are owed final wages that were not paid, your state labor agency can explain the process.
Use the number as an estimate of what to expect on the final paycheck, not a guarantee. Compare it with your final pay stub: if the payout is lower, ask whether the employer used a different rate, capped the hours, or withheld at a flat supplemental rate. If it is higher, verify that accruals were properly stopped at your last day.
The same math helps you decide whether to use time off before leaving or take a payout, estimate the value of a PTO balance when comparing job offers, or plan a cash cushion between jobs.
It depends on your state -- some states (like California) legally treat accrued PTO as earned wages that must be paid out, while others leave it entirely to employer policy. Check your state's labor department and your own employee handbook.
Generally yes. It is treated as wages, so withholding is applied and the net deposit will be smaller than the gross figure shown.
Multiply days by the number of hours your employer counts per PTO day, often 8, but it can differ for compressed schedules. Enter the total hours.
A common approach is annual salary divided by 2,080 hours, but your employer may use a different method. Check your policy.
No. If your plan limits carryover or payout, enter only the eligible hours.
Reference: U.S. Department of Labor