PTO Payout Calculator
Estimate gross and take-home pay for unused PTO, vacation time, or paid leave after federal, FICA, and state withholding.
PTO Payout Calculator
PTO Balance
Pay Rate
Tax Profile
Withholding Options
Estimates only. Not tax or legal advice. PTO and vacation payout eligibility depends on state law and employer policy.
Payout Inputs
State Payout Note
Employer policy and state law decide whether payout is required.
- Withholding is not the same as final tax. Any difference is reconciled when you file your return.
Plan the Next Paycheck Too
Use Pay44 to estimate regular paychecks in all 50 states, with wages, taxes, deductions, and take-home pay in one place.
How the PTO payout calculator works
The calculator turns unused PTO into hours and multiplies those hours by the payout hourly rate. For salaried workers, it estimates the hourly rate as annual salary divided by weekly hours x 52. If your employer uses a different final rate, enter that rate as an override.
For example, 40 unused hours at $30 per hour gives you a $1,200 gross PTO payout. A salaried worker making $75,000 and working 40 hours per week has an estimated hourly rate of $36.06, so 10 PTO days at 8 hours per day comes to about $2,884.62 gross.
PTO payout taxes: federal, FICA, and state withholding
PTO payouts are commonly treated as supplemental wages for withholding. The default federal estimate uses 22% up to the remaining $1 million supplemental wage threshold, then 37% above that threshold. The aggregate option estimates the added federal tax compared with your regular wages.
FICA includes Social Security at 6.2% up to the 2026 wage base of $184,500, Medicare at 1.45%, and Additional Medicare at 0.9% above the filing-status threshold. The state amount here is a planning estimate or a custom rate, not a full state payroll calculation.
PTO payout rules by state and employer policy
Federal law does not require paid vacation or payment for unused PTO. Whether unused PTO must be paid depends on state law, employer policy, contracts, and how the leave is classified. Vacation time, PTO banks, sick leave, and unlimited PTO policies may follow different rules.
Use the state note above as a planning cue, not as a legal answer. For a final paycheck or separation agreement, check your employee handbook and your state labor agency guidance.
Related paycheck and tax tools
For nearby calculations, try the Bonus Tax Calculator, Severance Pay Tax Calculator, Hourly Paycheck Calculator, Salary to Hourly Calculator, or FICA Tax Calculator.
Frequently Asked Questions
Common questions about pto payout calculator
How do I calculate my PTO payout?
Multiply unused PTO hours by the hourly rate your employer uses for payouts. If you are salaried, estimate the rate by dividing annual salary by weekly hours x 52.
Is unused PTO paid out when I quit?
It depends on your state, your employer policy, and any written agreement you have. Federal law does not require paid vacation or payout for unused PTO.
Is PTO payout taxed like a bonus?
For withholding, PTO payouts are usually treated as supplemental wages, much like bonuses. You can compare the result with the Bonus Tax Calculator.
Why is my PTO payout withheld at 22% for federal tax?
IRS supplemental wage rules let many employers use a flat 22% federal withholding rate until you reach the $1 million supplemental wage threshold for the year.
Do I pay Social Security and Medicare tax on PTO payout?
Yes. A PTO payout is generally wage income, so Social Security applies up to the 2026 wage base of $184,500. Medicare applies to all wages. See the FICA Tax Calculator for more detail.
How do salaried employees calculate unused vacation payout?
Divide annual salary by weekly hours x 52 to estimate an hourly rate, then multiply that rate by unused PTO hours. Use the Salary to Hourly Calculator if you want to check the rate by itself.
Are sick days paid out the same way as vacation days?
Not always. Vacation, PTO, and sick leave can be treated differently under state law and employer policy. Check your handbook or separation paperwork.
Which states require unused vacation or PTO to be paid at termination?
Rules vary by state. California, Colorado, Illinois, Massachusetts, Montana, and Nebraska often have stronger payout protections. Texas and Florida usually depend more on employer policy.