PTO payout laws by state

Not verified yet. Check the official source (adol.alabama.gov).

Only if a policy or contract promises it. Alaska law does not require vacation pay by itself: an employer only has to pay vacation pay if it has a policy to pay it, or has made a promise or a contract with the employee to pay it. The Department enforces the employer's own rules for these payments. (Alaska Dept. of Labor, Wage and Hour FAQ)

Not verified yet. Check the official source (azleg.gov).

Not verified yet. Check the official source (labor.arkansas.gov).

Payout required. In California earned vacation is wages. When employment ends for any reason, all earned and unused vacation must be paid at the final rate of pay (unless a collective bargaining agreement provides otherwise), and a policy cannot make vested vacation forfeit at termination. (Cal. Labor Code § 227.3)

Payout required. In Colorado, earned vacation pay counts as wages. If an employer provides paid vacation, it must pay all earned vacation at separation. Policies may cap accrual, but they may not forfeit any earned (accrued) vacation pay. (C.R.S. § 8-4-101(14)(a)(III), as quoted in Wage Protection Rules 7 CCR 1103-7, Rule...)

Only if a policy or contract promises it. If an employer policy or collective bargaining agreement provides for paying accrued fringe benefits (including paid vacation) at termination, a terminated employee must be paid them as wages in accordance with that policy or agreement. (Conn. Gen. Stat. § 31-76k (CT DOL Wage Payment Laws summary))

Only if a policy or contract promises it. Delaware treats vacation pay as a 'benefit or wage supplement', not as wages. An employer that is party to an agreement to provide vacation pay must pay it under that agreement (see notes for the deadline). A vacation pay claim to the Department of Labor must include a copy of the employer's policy. (19 Del. C. § 1109)

Not verified yet. Check the official source (does.dc.gov).

Not verified yet. Check the official source (state labor offices, dol.gov).

Not verified yet. Check the official source (dol.georgia.gov).

Not verified yet. Check the official source (labor.hawaii.gov).

Not verified yet. Check the official source (state labor offices, dol.gov).

Payout required. In Illinois, an employer that provides vacation under an employment contract or policy must pay the monetary equivalent of all earned, unused vacation to an employee who resigns or is fired. A policy cannot forfeit earned vacation at separation. Vacation pay is part of final compensation, which is due by the next regularly scheduled payday. (Illinois Dept. of Labor, Vacation FAQ (820 ILCS 115/5; 56 Ill. Adm. Code 300.520))

Not verified yet. Check the official source (faqs.in.gov).

Only if a policy or contract promises it. Iowa law does not require vacation pay. An employee is paid for accrued, unused vacation when employment ends only if the employer has a contract, policy or procedure to pay vacation to departing employees. (Iowa Division of Labor (DIAL), Wages page)

Not verified yet. Check the official source (ksrevisor.org).

Earned vacation counts as wages. In Kentucky, vested vacation pay is part of "wages" under the state wage statute, and an employee who leaves or is discharged must be paid in full all wages earned. Whether vacation is vested depends on the employer's agreement or established policy. (KRS 337.010(1)(c)1.)

Not verified yet. Check the official source (legis.la.gov).

Payout required. In Maine, when the terms of employment or the employer's established practice include paid vacation, vacation pay at cessation of employment has the same status as wages earned. All unused paid vacation accrued under the employer's policy on and after January 1, 2023 must be paid at cessation of employment. Exceptions: employers with 10 or fewer employees and public employers; a collective bargaining agreement that addresses vacation payout supersedes the rule. (26 M.R.S. § 626)

Required unless a written policy says otherwise. Accrued vacation must be paid at termination unless the employer has a written policy limiting payout of accrued leave, notified the employee of its leave benefits at hiring, and the employee is not entitled to payment under that written policy. (Md. Code, Lab. & Empl. § 3-505(b))

Not verified yet. Check the official source (mass.gov).

Not verified yet. Check the official source (michigan.gov).

Depends on the employer policy. In Minnesota, company policy determines when benefits such as vacation are due, including at separation. Once due under the policy or agreement, benefits must be paid within 30 days. (Minnesota Dept. of Labor and Industry, Employment termination (Minn. Stat. 181.74))

Not verified yet. Check the official source (ca5.uscourts.gov).

Not verified yet. Check the official source (labor.mo.gov).

Earned vacation counts as wages. Montana does not require private employers to provide vacation, but once vacation is earned under the employer's policy it is wages and is due and payable like regular wages, including at termination. The Department of Labor & Industry says 'use it or lose it' policies are not permitted in Montana, although caps on accumulation are allowed. PTO payout depends on the employer's policy. (Montana Dept. of Labor & Industry, Wage and Hour FAQ (citing Attorney General Opinion...)

Not verified yet. Check the official source (nebraska.gov).

Not verified yet. Check the official source (labor.nv.gov).

Not verified yet. Check the official source (gc.nh.gov).

Depends on the employer policy. New Jersey state law does not require vacation or other fringe benefits. If an employer chooses to provide them, they must be administered uniformly according to its established policy or employment agreement, so payout of unused vacation at separation depends on that policy or agreement. (NJ Dept. of Labor and Workforce Development, Wage and Hour Employer FAQs)

Not verified yet. Check the official source (dws.nm.gov).

Required unless a written forfeiture policy says otherwise. New York does not require paid vacation. If an employer has a vacation policy, an employee who resigns or is discharged must be paid for earned, accrued vacation unless the employer told employees in writing of a forfeiture policy; forfeiture conditions must be written and explicit. (NY Dept. of Labor, Wages and Hours FAQ (Labor Law 195.5, 198-c))

Required unless a written forfeiture policy says otherwise. North Carolina does not require vacation pay, but an employer that promises vacation (including PTO) must pay what is earned under its policy or practice. Earned vacation cannot be forfeited unless employees were notified in writing of a forfeiture policy; even then, payout at termination depends on the wording of the forfeiture clause and the reason employment ended. (NC Dept. of Labor, Promised Wages Including Wage Benefits (N.C.G.S. 95-25.13))

Required, with limited exceptions. In North Dakota, once paid time off is made available, unused PTO is generally considered wages at separation. A private employer may withhold it only on a voluntary quit if it gave written notice of the limitation at hiring, the employee worked there less than one year, and the employee gave less than five days' notice; or for PTO awarded but not yet earned, if the employer gave written notice of that limitation before awarding it. (N.D. Dept. of Labor and Human Rights, Wage and Hour FAQ (N.D. Admin. Code §...)

Not verified yet. Check the official source (codes.ohio.gov).

Depends on the employer policy. Oklahoma has no mandatory benefits law. If the employer has a written policy (like an employee handbook) that promises payout of vacation, that vacation payout is legally considered wages; eligibility depends on the employer's policy. (Oklahoma Dept. of Labor, Protect Your Pay)

Depends on the employer policy. Oregon law does not require employers to offer vacation pay, but an employer must honor any established policy or agreement on paying accrued vacation at termination. If the worker qualifies under the policy, it must be paid at termination. (Oregon BOLI, Benefits, holiday and vacation pay)

Depends on the employer policy. No Pennsylvania law requires an employer to provide vacation pay. An employer only has to pay vacation if it has a policy or a contract to pay it, and must follow its own rules. Vacation pay owed under an agreement is a 'fringe benefit or wage supplement' under the Wage Payment and Collection Law. (Pennsylvania Dept. of Labor & Industry, Wage FAQs)

Not verified yet. Check the official source (webserver.rilegislature.gov).

Not verified yet. Check the official source (scstatehouse.gov).

Not verified yet. Check the official source (dlr.sd.gov).

Not verified yet. Check the official source (lwdsupport.tn.gov).

Depends on the employer policy. Texas requires a payout of accrued leave only if the employer promised it in a written policy or agreement, and the payout is controlled by the wording of that policy. Vacation pay owed under a written agreement or written policy counts as wages under the Texas Payday Law. With no such policy, no payout is owed. (Texas Workforce Commission, Accrued Leave Payouts)

Not verified yet. Check the official source (laborcommission.utah.gov).

Depends on the employer policy. Vermont does not require employers to provide paid vacation or to pay vacation when an employee leaves. Employers that have a written agreement (including an employee handbook, memorandum or correspondence) providing for vacation time are liable to their employees for that benefit. (Vermont Dept. of Labor, A Summary of Vermont Wage and Hour Laws (2019))

Vacation is not treated as wages. Under Virginia's payment of wage laws, vacation leave and paid time off are 'fringe benefits', not wages, and the Department of Labor and Industry does not enforce them. An employee who believes a fringe benefit is owed may file a civil suit against the employer. (Virginia DOLI, Payment of Wage Claim Form and Instructions (LL-POW-01))

Depends on the employer policy. Washington does not require employers to pay vacation: vacation time is a voluntary benefit negotiable between employer and employee, and employers can choose to pay it out on the final paycheck. L&I does not accept vacation pay complaints; an employee owed agreed-upon vacation benefits can contact an attorney or file in small claims court. (Washington L&I, Getting Paid)

Depends on the employer policy. West Virginia law does not require employers to provide vacation. Fringe benefits include vacation, and accrued fringe benefits that are capable of calculation and payable directly to the employee are wages under the Wage Payment and Collection Act. Whether vacation is owed at separation depends on the terms of the employer's written policy, which the Division of Labor enforces as written. (W. Va. Code § 21-5-1(c))

Not verified yet. Check the official source (dwd.wisconsin.gov).

Depends on the employer policy. In Wyoming, wages include fringe benefits, and accrued vacation is paid at termination unless the employer's written policy provides that accrued vacation is forfeited at termination and the employee acknowledged that policy in writing. An employer can deny vacation payout only on that basis. (Wyo. Stat. § 27-4-501(a)(iii))