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    1. Atlas
    2. Glossary
    3. PTO

    HR & People

    PTO

    PTO (paid time off) is employer-provided time away from work (such as vacation, personal, and sometimes sick days) during which an employee is still paid.

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    • Also called: paid time off

    Definition

    What is PTO?

    PTO (paid time off) is employer-provided time away from work (such as vacation, personal, and sometimes sick days) during which an employee is still paid.

    PTO is how companies give people paid time away from work. Some employers separate vacation, sick, and personal leave; others use a single combined PTO bank that employees draw from for any reason.

    PTO is usually accrued over time or granted up front, and policies vary widely by company and country. Tracking balances accurately matters for both employee trust and legal compliance.

    Atlas tracks PTO requests, approvals, and balances against the same employee record used for payroll, so time off and pay stay in sync.

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    Related reading

    • The all-in-one work OS
    • The Atlas platform
    • Atlas for small business
    • Work OS glossary

    FAQ

    Questions, answered.

    What is the difference between PTO and vacation?
    Vacation is one type of leave. PTO is often a broader bank that combines vacation, personal, and sometimes sick time into a single pool employees can use for any purpose.
    How is PTO accrued?
    PTO is commonly accrued per pay period or hours worked, or granted as a lump sum at the start of a year. The method depends on company policy and local law.

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