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Does an employer have to pay PTO when you quit?

By Justin Parker - Feb. 20, 2023

No, an employer does not have to pay PTO when you quit. The United States does not have a federal law that requires employers to pay out PTO when you quit. However, certain states and specific companies can have policies on this matter that do result in an employer paying out your PTO if you quit.

For example, both California and Massachusetts have laws that force employers to pay out their employees in terms of their PTO when the employees have been terminated. Though this applies to termination and not to voluntary quitting.

You should reference your employee handbook or speak with an HR representative to find out what your company's PTO policies are. If the company has a clear policy stating that unused PTO must be paid out upon termination or voluntary quitting, then your employer is obligated to pay you for your PTO.

If your company does not have a clear policy on this matter, then you should check with your state's laws concerning employee PTO payouts to determine if your employer is obligated to pay out your unused PTO. Some companies might pay out PTO for voluntary quitters as a matter of good practice or to keep a good relationship with you as a former employee.

Does an employer have to pay PTO when you quit?

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