About the PTO Accrual Calculator
This PTO accrual calculator converts a yearly paid-time-off allowance into the amount you earn each paycheck and for every hour you work, then projects your balance forward. Add your current balance, the hours you plan to take and any accrual cap to see where you will stand after a given number of pay periods.
It is useful for employees planning a vacation, checking that a payslip balance is right, or working out how long it takes to save up for a trip. HR and payroll teams can use it to set per-period accrual rates and to see how a maximum balance (a “use it or lose it” cap) limits what staff can carry.
Accrual is spread evenly across pay periods, and planned time off is spread evenly too. When a cap is set, accrual stops while your balance is at the cap, which is how most PTO policies work. Enter PTO in hours; the days figure assumes days of equal length based on your weekly hours.
With the default inputs, the projected pto balance is 80 hours. Change any value above to recalculate instantly.
How to use the pto accrual calculator
- 1Enter your yearly PTO allowance in hours.
- 2Choose how often you are paid and your weekly hours.
- 3Add your current balance and the hours you plan to take.
- 4Enter your employer’s accrual cap, if any.
- 5Review the per-paycheck accrual rate and projected balance chart.
Formula and method
The accrual rate per pay period is your yearly PTO allowance divided by the number of paychecks in a year (52 weekly, 26 biweekly, 24 semi-monthly or 12 monthly). The rate per hour worked divides the same allowance by the hours you work in a year, which is how hourly-accrual policies are usually written (for example 0.0577 hours per hour for 120 hours a year at 40 hours a week).
The projection adds one period’s accrual at a time. If a cap is set, accrual is limited to the room left below the cap and anything above it is counted as lost. Planned time off is spread evenly over the projection. The cash value multiplies the ending balance by your hourly rate.
- N
- Number of pay periods in the projection
- cap
- Maximum PTO balance allowed by your policy
- Used
- Total PTO hours you plan to take during the projection
Worked examples
120 hours a year, paid biweekly, 40 hours used
120 hours ÷ 26 paychecks = 4.615 hours per pay period, or 120 ÷ 2,080 = 0.0577 hours per hour worked. Over a year you accrue 120 hours; after using 40 you have 80 hours (10 days), worth $2,400 at $30 an hour.
Near the cap: 160 hours a year, semi-monthly, 200-hour cap
You earn 160 ÷ 24 = 6.67 hours per paycheck. Starting at 150 hours you hit the 200-hour cap during the 8th pay period, so over 12 periods only 50 of the 80 hours can accrue — 30 hours are lost unless you take time off.
Saving for a trip: monthly accrual of 10 days a year
80 hours a year paid monthly is 6.67 hours a month. Starting with 8 hours, six months of accrual adds 40 hours, giving 48 hours or 6 full 8-hour days for your trip.
Frequently asked questions
How do I calculate PTO accrual per pay period?+
Divide your annual PTO hours by the number of pay periods in a year. For example 120 hours a year paid biweekly (26 paychecks) accrues 120 ÷ 26 = 4.62 hours per paycheck.
How much PTO do I earn per hour worked?+
Divide your yearly PTO hours by the hours you work in a year. At 40 hours a week (2,080 hours), 80 hours of PTO is 0.0385 hours per hour worked and 120 hours is 0.0577 — about 1 hour for every 17.3 hours worked.
What is a PTO accrual cap?+
A cap is the maximum balance you can hold. Once you reach it, you stop earning PTO until you use some. Many employers set the cap at a multiple of the annual allowance, such as 1.5 or 2 times, to encourage people to take time off. Some states restrict “use it or lose it” forfeiture, but caps on further accrual are generally allowed.
Is unused PTO paid out when I leave?+
It depends on your employer’s policy and your location. In the US there is no federal requirement, but some states, such as California, treat earned vacation as wages that must be paid out at termination.
How many hours is 2 weeks of PTO?+
Two weeks of PTO is 80 hours for someone working 40 hours a week, or 75 hours on a 37.5-hour week. Three weeks is 120 hours at 40 hours a week.