Understanding Our PTO Program
Clear time off guidelines for rest, planning, and business continuity
April 2026
Explore the Policy
Why We Updated Our PTO Policy
Our company is moving from ambiguous unlimited PTO to a clear, structured PTO program. The goal is to create consistency, fairness, and transparency for every employee.
Clarity
Employees understand exactly how much time is available and how it is managed.
Fairness
Consistent rules across the organization so everyone operates under the same framework.
Transparency
Clear guidance on when PTO can be used and how it accrues or is granted.
Coverage
Helps teams plan ahead and maintain strong service to clients throughout the year.

This change is meant to reduce confusion, not restrict flexibility. Clarity benefits both employees and managers alike.
Agenda
Here is what we will cover in today's session — a practical walkthrough of how the policy works day to day.
01
Eligibility
Who qualifies for PTO under the new program.
02
Year 1 vs. Year 2+
How PTO works differently in your first year versus after that.
03
Personal Day, Carryover & Payout
Rules around special categories of time off and what happens to unused PTO.
04
Requesting & Planning Time Off
How to submit PTO and coordinate with your team.
05
Key Takeaways & Next Steps
What to remember and what to do after this session.
PTO Program Overview
Our PTO policy applies to full-time employees averaging 30 or more hours per week. The program is intentionally structured to serve both employees and the business well.
Clear Expectations
Every employee knows exactly how much time off they have and how it becomes available.
Rest & Recharge
The program is designed to support employee wellbeing through regular, planned time away.
Tenure Rewards
Long-term service is recognized through a tiered PTO allotment that grows over time.
Business Continuity
Structured rules help protect team coverage and client service across the organization.
PTO rules may differ based on length of employment. The structure is intentional — built to scale with your time at the company.
Who Is Eligible
PTO applies to employees beginning on their full-time start date — either their original hire date if they were hired full-time, or their conversion date if they moved from part-time to full-time. Eligibility is reviewed on an ongoing basis.
Full-Time Employees
The policy is intended for employees — not independent contractors or part-time staff below the threshold. Part-time employees who convert to full-time status become eligible for PTO on their conversion date, and their years of service for PTO tier purposes are counted from that conversion date.
Ongoing Review
Eligibility based on weekly hours is reviewed on a continuing basis throughout employment.

If you are unsure about your classification or schedule eligibility, please contact HR directly.
Year 1 PTO: Accrual-Based
During your first year of full-time employment, PTO is earned over time rather than granted upfront. This structure supports fairness and business continuity during the onboarding period. For employees who converted from part-time, Year 1 begins on your full-time conversion date.
Accrual Rate
1.25 days per month — beginning on your first day of full-time employment (or conversion date).
Annual Total
15 days (3 weeks) earned by the end of your first year.
Use What You've Earned
You may only use PTO that has already accrued — no borrowing against future balance.
Year 2 and Beyond: Front-Loaded PTO
After completing 1 year of full-time employment, PTO moves to an upfront annual grant. Your full allotment becomes available at the start of the PTO year — giving tenured employees more flexibility for travel, family needs, and personal planning. For employees who converted from part-time, this milestone is measured from your full-time conversion date.
Upfront Access
Your full annual PTO bank is available from day one of the new PTO year — no waiting for monthly accruals.
Greater Flexibility
Plan vacations, family trips, and personal time early in the year without worrying about your balance catching up.
Easier to Understand
Front-loaded PTO makes your balance easier to understand than a staggered monthly release system.
This is a positive change for longer-tenured employees — earlier access to the full annual bank means more freedom to plan ahead.
PTO by Years of Service
PTO increases with tenure. This tiered structure rewards long-term service and loyalty — and creates a gradual, fair progression over time. Years of service are counted from your full-time start date — either your original hire date if you started full-time, or your conversion date if you moved from part-time.
Years 1 & 2
15 days — 3 weeks of annual PTO.
Years 3 & 4
20 days — 4 weeks of annual PTO. Service recognized earlier than before.
Years 5+
25 days — 5 weeks of annual PTO for our most tenured team members.
Personal Day
Each employee receives 1 Personal Day per year, separate from regular PTO. It may be used for any purpose — no explanation required.
Mental Health
Take a day to decompress, reset, and recharge when you need it most.
Personal Occasions
Use it for a birthday, a personal milestone, or simply a day that belongs entirely to you.
Extra Flexibility
When life needs a little more room, the Personal Day provides that additional breathing space.

Personal Days are use-it-or-lose-it. They do not carry over and are not paid out at separation. Use yours during the year.
PTO Carryover
The policy encourages employees to take time off regularly — not stockpile PTO indefinitely. Here is how carryover works at year-end.
Carryover rules may be adjusted if required by state or local law. The purpose of PTO is rest and recovery — the carryover cap reinforces healthy, regular use of time off throughout the year.
PTO Payout If You Leave the Company
Employees who voluntarily separate may receive payout of up to 5 unused PTO days, subject to the following requirements.
1
Proper Notice
Typically 2 weeks' notice is required to be eligible for PTO payout at separation.
2
Stay Through Notice Period
The employee must remain actively employed through the end of the notice period.
3
Up to 5 Days Paid Out
Eligible unused PTO is paid out at up to 5 days upon qualified separation.

In some states, local law may require a different payout treatment. The company will follow applicable law where required.
Important Note on Front-Loaded PTO
For Year 2+ employees, PTO is granted upfront at the start of the year. This creates an important consideration if an employee leaves mid-year.
What Can Happen
If an employee uses more PTO than they would have proportionally earned and then separates mid-year, the company may treat that as a negative PTO balance.
Where permitted by law and with proper authorization, that amount may be deducted from final pay.
  • Protects fairness for the employee group as a whole
  • Prevents situations where advanced time is used and never earned
  • Applies only where state and local law permits
How to Think About It
Front-loaded PTO is a benefit — a vote of trust in tenured employees. The negative balance provision simply ensures that trust is a two-way street.
The purpose is not to penalize employees, but to maintain a fair and sustainable system for everyone.
How PTO Requests Work
All PTO requests must be submitted through the designated HR/Payroll system and are subject to manager approval. Early planning significantly improves approval outcomes and helps teams coordinate coverage.
Plan in Advance
Give advance notice equal to at least double the time requested. For 1 week off, provide 2 weeks' notice minimum.
Submit Through the System
All requests go through the designated HR/Payroll system — no informal requests by text or verbal conversation.
Manager Reviews Request
Requests are evaluated based on business needs, client requirements, and team coverage at the time of the request.
Approval Confirmed
Once approved, your time off is confirmed. Keep an eye on your balance and enjoy the time away.
Business Continuity and Scheduling
The company supports time off, but approvals must also reflect operational realities. Good planning helps balance employee wellbeing and client service.
First 90 Days of Full-Time Employment
This applies from the employee's full-time start date — whether that's the hire date or conversion date. PTO availability may be more limited during this initial full-time onboarding period as employees settle into their roles and responsibilities.
High-Priority Client Assignments
During critical client engagements, time-off requests may face additional scrutiny to ensure continuity of service delivery.
Limited Team Coverage Periods
When team capacity is reduced — due to other approved PTO, seasonal demand, or other factors — requests may be prioritized differently.

The company wants employees to take PTO — just not in ways that create avoidable coverage problems. Plan early, communicate clearly, and most requests will be well-received.
Why This Policy Is Better
The new structured PTO program replaces uncertainty with clarity — for employees, managers, and the business as a whole.
Before: Unlimited PTO
  • Ambiguous — how much is really okay to take?
  • Inconsistent across teams and managers
  • No clear guidance on balances or tracking
  • Difficult for managers to plan coverage
  • Employees often took less time off due to uncertainty
After: Structured PTO
  • Clear view of how PTO is earned and used
  • More flexibility after the first year (front-loaded)
  • Rewards long-term commitment with more time
  • Consistent framework for managers to approve requests
  • Employees know exactly what they have — and can use it
Key Takeaways
Here are the most important facts to remember from today's session.
1.25
Days Per Month
Year 1 accrual rate, building to 15 days over 12 months.
15–25
Days by Tenure
3 weeks in Years 1–2, 4 weeks in Years 3–4, 5 weeks at Year 5+.
1
Personal Day
Each employee receives 1 Personal Day per year — use it or lose it.
5
Carryover Cap
Up to 5 unused PTO days may carry into the next year. Days above 5 are forfeited.

Year 2+ employees receive PTO front-loaded at the start of the year. Submit all requests early through the HR/Payroll system.
What Employees Should Do Next
The policy only works well if employees know where to find it and how to use it. Here are five concrete steps to take after this session.
1
Review the Full Policy
Find the complete PTO policy in the employee handbook or HR system and read through it at your own pace.
2
Confirm Your Tenure Band & Balance
Verify your current tenure band and check your available PTO balance in the HR/Payroll system.
3
Plan Major Time Off Early
Identify any vacations or personal commitments and get them on the calendar — early requests are more likely to be approved.
4
Use the HR/Payroll System
Submit all PTO requests through the designated system — not through informal channels.
5
Reach Out with Questions
Contact HR or your manager with any questions about your individual situation, tenure, balances, or scheduling.
Questions & Thank You
Thank you for taking the time to learn about our new PTO program. Our goal is to make time off clear, fair, and easy to plan — for every employee at every level.
For questions about your individual situation — tenure, balances, or scheduling — please contact HR directly. We're here to help.