PTO Accrual Calculator

How PTO Accrual Works

PTO (Paid Time Off) accrual is the process of earning time off over the course of a pay period. Instead of receiving all your PTO at the start of the year, most employers distribute it gradually — a set number of hours each pay period based on your annual allowance.

For example, if you receive 80 hours (10 days) of PTO per year and are paid biweekly, you accrue approximately 3.08 hours per pay period (80 ÷ 26 pay periods).

PTO Accrual vs. Front-Loaded PTO

Accrual-based PTO distributes time off gradually throughout the year. Employees earn a set amount each pay period. This is the most common method for small businesses.

Front-loaded PTO gives employees their full annual allowance on January 1 (or their hire-date anniversary). This is simpler to administer but means new hires get their full balance immediately.

Common PTO Allowances for Small Businesses

Most small businesses offer between 10 and 15 days of PTO per year for full-time employees. Entry-level roles typically start at 10 days, with increases based on tenure. Many businesses combine vacation, sick time, and personal days into a single PTO bank.

Stop Calculating PTO in Spreadsheets

If you're tracking PTO in a spreadsheet, you already know it doesn't scale. Team Tracker handles PTO accrual, requests, approvals, and balance tracking automatically — for $9/month, flat rate.