PTO (Paid Time Off)

PTO (Paid Time Off) is employer-provided time away from work with full pay — covering vacation, sick leave, and personal days, sometimes combined into a single bank or kept as separate buckets. **US context:** Unlike most wealthy countries, the US has no federal mandate for paid vacation. PTO is entirely at the employer's discretion. The average US private-sector worker receives 10-14 days per year; professional roles typically offer 15-25 days. **Accrual vs. front-load:** - **Accrual**: PTO is earned over time (e.g., 1.5 days per month = 18 days per year). Payout on departure is usually required for accrued unused PTO under most state laws. - **Front-loaded**: Full year's PTO available January 1. Departure during the year may require partial repayment. **'Unlimited PTO':** Many tech companies offer 'unlimited PTO' — meaning there's no formal limit on days taken. In practice, studies show employees at companies with unlimited PTO take fewer days off than those with defined allotments, because there's no clear entitlement and cultural pressure to not take 'too much.' Ask actual employees how many days they typically take. **Negotiating PTO:** PTO is negotiable, especially if the base salary is fixed. 5 additional PTO days has real financial value and is easier to grant than a salary increase. **PTO and burnout:** Actually using your PTO is important. Many professionals accumulate large PTO balances they never use. Assess the company's actual culture around taking time off — not just the policy.