Standard Paid Time Off

The digital world we live in today makes it nearly impossible for us to truly “shut down” when we leave the office. 24/7 access to email, social media and work create an environment of constant contact and can often leave employees and management alike burned out. The Fair Labor and Standards Act does not set a requirement for paid time off (PTO) for employees.

The PTO model generally combines sick and vacation time under a single umbrella. This model differs from the traditional segmented sick/vacation days. While this offers more flexibility in some situations, if you use all of your PTO at the beginning of the year and end up getting sick later on, you may be required to take unpaid time off.

So what is the average PTO for employees in the United States? According to the Bureau of Labor Statistics, for full-time employees in the private sector they receive an average of 10-15 days of paid time off after one year of employment. In most instances, as you spend more time with a company you accrue PTO at a higher rate, resulting in more days on a year over year basis.

In addition to vacation and sick PTO, there is also holiday PTO which is not factored into the above statistics. Once again, there is no requirement set forth for employers to provide PTO for holidays, including federal, to their employees. Most companies in the private sector follow the federal holiday calendar, which gives 10 paid holidays to their employees.

With so many options and so little regulation around PTO for employees it can be quite overwhelming to develop your company’s policy. We recommend reaching out to a team like Employer Solutions Plus, which can provide you with guidance surrounding the types of PTO that would work best for your company. Our experience in employee management and benefits allows us to design a plan that is a best fit for your organization and company culture.

If you work with a PEO, your PEO may already have PTO templates and resources for you to take full advantage of – just ask! Contact us today for additional information.