Glossary
PTO Payout
Paying an employee the cash value of their unused, accrued leave — often when they leave the company.
A PTO payout converts accrued-but-unused leave into wages, most commonly on termination or resignation. Some jurisdictions require payout of accrued vacation; others leave it to company policy.
Because payout can create real financial liability, employers track outstanding balances carefully and state the rules clearly.
Example: An employee leaving with 6 unused days may receive 6 days of pay as a PTO payout.
In Orvella: Orvella's PTO-liability report shows exactly how much accrued leave you'd owe at any moment.