PTO and Vacation Policy

PTO AND VACATION POLICY

Employer: [COMPANY LEGAL NAME]
Effective date: [__/__/____]
Policy owner: [HR CONTACT AND EMAIL]
Work locations covered: [STATES / LOCATIONS]
Supersedes: [PRIOR POLICY OR "NONE"]

1. Scope and purpose

This policy describes paid time off (PTO) that [COMPANY NAME] provides for rest and personal time. It applies to [ELIGIBLE EMPLOYEE GROUPS]. A written employment agreement or location supplement that provides a greater benefit controls to that extent. Sick leave and other protected absences are administered under their separate policies and applicable law.

2. Benefit selection

Select and complete one method before issuing this policy:

☐ Accrual: Eligible employees earn [____] hours of PTO for each [HOUR WORKED / PAY PERIOD], beginning [START DATE / ELIGIBILITY EVENT]. The annual accrual schedule is [SCHEDULE].

☐ Grant: Eligible employees receive [____] hours on [DATE / ANNIVERSARY]. For an employee starting midyear, the grant is calculated as [METHOD].

Part-time schedule: [METHOD OR "SAME BENEFIT"].
Maximum balance, if permitted: [____] hours or [NONE].
Carryover into the next year: [RULE, SUBJECT TO APPLICABLE LAW].
Advance use of unearned time: ☐ Permitted up to [____] hours ☐ Not permitted. If an advance is used, any recovery at separation requires separate review under applicable law.

3. Requesting and scheduling PTO

Employees request PTO through [SYSTEM / EMAIL] to [APPROVER] at least [____] days before a foreseeable absence when practicable. The request should state dates and hours, not private personal details. Approval depends on staffing needs, prior approvals, and an even application of this policy. [COMPANY NAME] will respond within [____] business days. For an unexpected absence, notify [CONTACT] as soon as practicable.

PTO may be taken in increments of [____] hours, subject to applicable law. If several employees request the same dates, [PRIORITY RULE]. Approved time is recorded in [TIMEKEEPING SYSTEM]. Employees must record all time actually worked, including work performed during a planned PTO period.

4. Pay and holidays

PTO is paid at [RATE / CALCULATION METHOD] on the regular payroll. The treatment of commissions, differentials, variable schedules, and holidays falling during PTO is [METHOD]. PTO is not exchanged for cash during employment unless [WRITTEN CASH-OUT RULE, IF PERMITTED].

5. Separation and policy changes

At separation, [COMPANY NAME] will pay any accrued, unused amount required by applicable law and any additional amount promised by a signed agreement or location supplement. The final amount is calculated from [BALANCE RECORD] using [APPLICABLE RATE METHOD]. A proposed change to accrual, carryover, or payout is reviewed for the employee's work location before it takes effect; earned balances are handled as applicable law requires.

6. Administration

Direct balance questions and corrections to [HR CONTACT]. No manager may make an exception that reduces a legal minimum. The company may adopt a written location supplement that grants additional rights; HR will provide it with this policy.

Acknowledgment

I received this policy and know where to ask about my balance and the rules for my work location. This acknowledgment does not waive any earned benefit or legal right.

Employee: [NAME] Signature: [SIGNATURE] Date: [__/__/____]
Company representative: [NAME] Signature: [SIGNATURE] Date: [__/__/____]