PTO payout calculator
Leaving a job with vacation days you never used? Type the hours and your rate to see the cash value, what is taken out for tax, and whether your state makes your employer pay it.
What you are owedupdates as you type
What these words mean
- PTO
- Paid time off: vacation, personal days or a combined bank of paid days.
- Payout
- Being paid cash for paid time off you earned but never used.
- Withholding
- Money your employer sends to the tax office from your pay before you get it. It is not extra tax. It is settled when you file your return.
- Social Security and Medicare (FICA)
- The 7.65% taken from every paycheck for retirement and health programs.
- Final paycheck
- The last pay you are owed after a job ends: all hours worked and, in some states, your unused vacation.
Questions
Why is so much tax taken out of my vacation payout?
When it is paid as a separate lump sum, employers hold back a flat 22% for federal tax plus 7.65% for Social Security and Medicare. That is not your final tax bill. If too much was taken, you get it back as a refund when you file.
Can my employer have a "use it or lose it" rule?
Not in California, Colorado, Nebraska or Montana, where vacation you have earned is treated like wages. Most other states allow it as long as the rule is in writing and you were told about it.