Per-hour PTO accrual formula
PTO earned = hours worked × PTO accrual rate
If the rate is 0.05 PTO hours for every hour worked, 80 work hours earn 4 PTO hours, 160 work hours earn 8 PTO hours, and 2,080 work hours earn 104 PTO hours before policy limits or adjustments.
Example: 80 hours worked
80 × 0.05 = 4 PTO hours
Example: 160 hours worked
160 × 0.05 = 8 PTO hours
How to include an existing balance
Add the newly earned PTO to the current balance and eligible carryover, then subtract PTO used. If the policy has a balance cap, apply that cap to the projected balance.
What rate should you use?
Use the accrual rate stated in the applicable employer or plan policy. This guide explains the arithmetic only and does not determine eligibility, legal requirements, forfeiture rules, or the correct policy rate.
Use the PTO Accrual Calculator to enter an hourly rate, hours worked, carryover, usage and a balance cap.
Frequently asked questions
How much PTO do I earn per hour worked?
Multiply each hour worked by the accrual rate supplied by the applicable PTO policy.
Can I calculate vacation accrual the same way?
Yes, when the vacation policy uses a per-hour accrual rate, the arithmetic is the same.