PTO (Paid Time Off) Template

Paid Time Off (PTO) offers our employees the flexibility needed to use time off to meet personal needs, while recognizing your individual responsibility to manage your own paid time off.

You accumulate a specified amount of PTO days each pay period worked and you are responsible for allocating it as you please (taking care of your children, school activities, doctor’s appointments, etc.) ABC Productions may require that you use any unpaid PTO during disability of family medical leave. The amount of paid time off days is earned based on your length of service with ABC Productions.

Note that this is a paid time off policy template sample so make sure you change the policy to fit your company and culture. 

Paid Time Off Policy Template

INTRODUCTION

Paid time off (PTO) combines sick days, vacation days, and personal days for employees to use as they want, need or desire. Whenever an employee needs or wants to take time off, the PTO policy allows them to use a number of time as paid hours and it’s up to the employee to use this time as they want. From picking their kids up, letting a repairman in, going to see a doctor, and so on. How the employee uses this time is not the business of the employer. 

ACCRUEMENT

Employees at ABC Productions accrue PTO based on how many years of service they have worked. Any unused PTO does not carry over but will be paid at the end of the year.

ABC Productions has the right to force an employee to use their paid time off before implementing disability leave or paid family medical leave. Additionally, ABC Productions may blackout certain dates if needed and PTO cannot be used during this period.

Holidays are not included in PTO therefore any days that the office is closed for the holidays does not count as PTO and floating holidays will not count as PTO either.

ELIGIBILITY

Full-time employees: anyone working 40 hours/week or more is eligible for PTO based on their years of service. 

Part-time workers: anyone working less than 40 hours/week can accrue PTO based on their hourly duties.

Example:

• Less than one year of service: 16 days
• 1-2 years of service: 18 days
• 3-4 years of service: 19 days
• 5-6 years of service: 22 days
• 7-8 years of service: 23 days
• 9-10 years of service: 24 days
• 11-15 years of service: 26 days
• 16-19 years of service: 27 days
• 20+ years of service: 28 days

NOTICE TO MANAGEMENT

Employees at ABC Productions are solely responsible for accurately reporting their PTO to their manager. Any large scheduling absences must be discussed with their manager at least three weeks in advance. For emergencies and unexpected events, the employee must alert their manager immediately that they are taking a PTO day.

REPORTING OF PTO

Employees must use the paid time off report with HR to report their PTO leave. The form helps keep both the employee and employer in compliance with state laws.

MAX PTO AND CARRY OVER

PTO does not carry over year after year, therefore employees must use their available PTO time before the end of the year or can be paid out the PTO they have remaining.

When an employee reaches their max number of PTO days, they do not accrue more days on a yearly basis.

TERMINATION

If and when an employee is terminated at ABC Productions, all of their PTO time accrued will be paid out.

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