FAQ: How Many PTO Days is Normal? A Complete Guide for employers

Paid time off has evolved into more than just a perk, it’s a common benefit that shapes how employees view a job offer. But how much PTO is considered normal? If you’re an employer trying to balance business needs with employee expectations, you’re not alone.

With new employees asking smarter questions and many employers rethinking their PTO policy, it’s time to get clear answers.

This guide breaks down what’s typical, what’s changing, and how to build a PTO plan that actually makes sense, for your team and your bottom line.

Is PTO legally required?

👉 Here’s the short answer: paid time off is legally required in the UK, but not under federal law in the US. That’s a huge difference for employers on either side of the Atlantic.

Paid leave in UK is a legal right

In the UK, paid leave isn’t optional: it’s baked into the employment contracts. Full-time employees are entitled to at least 28 days of paid holiday, which can include bank holidays. That’s 5.6 weeks of paid time per year. Whether you’re a small business owner or running a larger team, you’re required to offer this as a minimum number of days.

Failing to give employees their holiday pay is bad for morale and it’s a legal issue.

Paid time off in the US is no federal guarantee, but state laws matter

In contrast, the US has no federal law that requires companies to offer paid vacation days, sick leave, or even paid holidays. It’s up to employers to decide their PTO policy, and many do, because it’s expected.

However, state laws in places like Rhode Island and West Virginia have started to introduce requirements around paid sick leave or personal time, especially for civilian workers and part time workers.

So, while there’s no national rule on how many PTO days is normal, many employers offer PTO voluntarily to stay competitive—especially larger companies and those in higher education, healthcare, or tech.

What this means for employers

• In the UK, you must give your employees paid leave. There's no way around it.

• In the US, it’s not required by federal law, but offering PTO is often essential to attract talent.

• Canadian workers and those in European countries benefit from stronger legal protections, raising expectations globally.

The takeaway? Even without a legal push, offering PTO benefits is no longer optional if you want to hire and keep good people.

What’s the average PTO in the UK?

In the UK, employees are entitled real breaks—not just the odd sick day or long weekend. But how many PTO days is normal here?

Statutory minimum leave

By law, full-time employees in the UK are entitled to 5.6 weeks of paid leave per year. That works out to 28 days of PTO, and yes—that can include the usual bank holidays.

If you’re hiring, that’s your baseline. Employment contracts must reflect this, and skipping it? That’s a fast track to unhappy employees and potential legal trouble.

For small businesses trying to stay compliant without overcommitting, this statutory amount is a solid starting point. But it’s just the minimum requirement.

Part-time and irregular workers

For part time workers or those with irregular schedules, the same rules apply, but the math changes.

• PTO is calculated pro-rata based on the number of hours worked.

• The most common approach? The 12.07% accrual method. This means you multiply the total hours someone works by 12.07% to work out their vacation time earned.

For example, someone working 20 hours a week over a year would earn about 11.2 paid vacation days. If you're managing shift work, keeping a close eye on PTO hours is essential.

Industry benchmarks

While the law sets the floor, many industries go above and beyond; especially to compete for talent.

• Tech companies and legal firms often offer more than the statutory minimum, with vacation pay reaching 30–35 days for new employees.

• Higher education and public sector roles can offer even more, sometimes pushing past 40 paid vacation timedays.

• In contrast, retail and hospitality often stick to the legal minimum, especially among small businesses.

How much PTO you offer can affect your reputation as an employer. And when employees report burnout, long hours, or trouble balancing life and work, generous vacation time suddenly becomes a big draw.

If you’re wondering how much paid time makes sense for your team, benchmark against your industry, then consider if you’re doing enough to support work life balance.

What’s the average PTO in the US?

Ask five American employers how many PTO days is normal, and you’ll probably get five different answers. Unlike the UK, there’s no one-size-fits-all; just averages, policies, and a lot of employer discretion.

PTO by tenure

The most common PTO policy in the US is tied to years of service. Here’s how the average number of vacation days typically stacks up:

That’s just the paid vacation part: sick leave is usually tracked separately. But it varies a lot depending on whether you’re a civilian worker, in the private sector, or part of a larger company.

Many small businesses may start at the lower end, while larger companies often offer better PTO benefits as part of a more competitive job offer.

PTO vs. public holidays

Here’s where it gets tricky. In the US, paid holidays like Thanksgiving or Independence Day are not guaranteed by federal law. They're usually separate from PTO, and the number of days varies from one company to another.

Some employers include public holidays in the PTO bank. Others keep them totally separate and offer 6 to 10 holiday pay days a year. That’s why time off requests can get a bit complicated; you need to be crystal clear in your PTO plan.

Unlimited PTO policies

More larger companies are starting to offer unlimited PTO as a modern, flexible perk. It’s especially popular in tech and creative industries where trust and output matter more than clocking hours.

Unlimited vacation policies sound dreamy; take the time you need, no caps, no tracking. But in practice:

• Many employees end up taking fewer vacation days, not more.

• Unused vacation time becomes harder to define.

• It’s tough to measure PTO statistics or plan around busy times.

Some employees fear taking too much and looking uncommitted. Others worry about burnout when nobody’s drawing a clear line.

If you offer PTO like this, make sure to build a culture that encourages actual personal time and occasional mental health days. Otherwise, unlimited PTO becomes just another HR buzzword with no real paid vacation time behind it.

PTO trends in 2025: what’s changing?

PTO policies aren’t standing still. As workplaces adapt to shifting values around mental health, flexibility, and compliance, both the UK and US are seeing changes that small businesses and larger companies can’t ignore.

UK legal updates

In 2025, updates to the UK’s Working Time Regulations mean employers need to keep better track of paid time and hours worked. That includes clearer documentation of time off requests, how holiday pay is calculated, and making sure employment contracts spell out exactly how paid leave is handled.

Another big shift: record-keeping is now mandatory for all paid vacation days and sick time, regardless of company size. For small business owners, this means investing in proper tracking systems—or risk falling out of compliance.

US policy shifts

Across the pond, there’s still no federal law mandating paid vacation, but several state laws are changing the game:

• Rhode Island and West Virginia have introduced broader paid sick leave protections.

• Some states are testing PTO as part of broader health insurance and family leave benefits.

• Updates to the Fair Labor Standards Act (FLSA) may soon impact how PTO hours and vacation pay are managed for civilian workers.

If you're operating in multiple states, a blanket pto policy won't cut it. You’ll need to tailor your approach based on each state’s requirements.

Employee usage patterns

Even when many employers offer a solid number of pto days, many employees aren’t using them all. In fact, PTO statistics show that more than half of American workers leave unused PTO on the table each year.

Why?

• Fear of falling behind

• Pressure during busy times

• Unclear company culture around taking time off

The result? Higher rates of burnout, lower morale, and poor work life balance. Even in companies that offer unlimited PTO, unused vacation days are common when expectations aren’t clear.

More employers are now promoting mental health days, encouraging regular breaks, and setting minimum time off to ensure staff actually recharge.

If you want your team productive and present, pushing for proper vacation time isn’t just nice—it’s smart business.

How PTO is structured: accrual, lump sum, and carryover

You’ve decided how much PTO to offer; great. Now comes the next question: how will you give it out? The way you structure paid time off can affect everything from pay period admin to employee trust.

Accrual vs. lump sum

Most companies choose between accrual and lump sum methods for allocating PTO hours:

Accrual method: Employees earn paid time gradually, often based on hours worked or length of service. For example, 1.25 vacation days per month.

• Pros: Encourages steady use, easier to adjust for new employees or part time workers.

• Cons: More admin. You’ll need a reliable system to track every pay period.

Lump sum: Employees get their full annual days of PTO upfront.

• Pros: Simple to manage and more attractive in a job offer.

• Cons: Risk of people using all their paid vacation time early and then quitting.

Many employers mix both—accrue sick leave, but give vacation pay as a lump sum. It really depends on your workplace culture and how much flexibility you want to build in.

Carryover policies

When employees don’t use all their paid vacation days, what happens?

That’s where carryover policies come in. In the UK, the general rule is that employees should take their paid leave within the year, but up to four weeks can roll over for specific reasons (like sick days or maternity leave).

In the US, it’s up to the employer. Some allow unused vacation time to roll over, others have “use it or lose it” policies. But be careful: state laws in places like California require you to honour unused vacation up to a cap.

💡Good to know: Unused PTO is often one of the most common HR headaches, especially when it’s not tracked properly. And if we're being honest; tracking it in a spreadsheet? Not ideal.

PTO payout on termination

When someone leaves, what happens to their unused vacation days?

• In the UK, employees are entitled to receive holiday pay for any accrued but unused paid leave upon termination.

• In the US, it depends. There’s no federal law, but many states require that you pay out any unused PTO, especially if your pto policy says so.

So, if your employee built up 15 PTO days and resigns mid-year, you might owe them vacation pay for that time. Failing to do so can trigger legal issues—not to mention sour goodbyes.

Clear policies, automated tracking, and consistent communication can save a lot of hassle, for you and your employees.

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How Shiftbase makes PTO management easier

Managing PTO days, sick leave, and paid vacation time manually can quickly turn into a nightmare, especially when you’re juggling time off requests, hours worked, and holiday pay across different teams and contracts.

That’s where Shiftbase comes in. Our all-in-one workforce management platform helps employers streamline every part of PTO planning; from employee scheduling around busy times, to automatic time tracking for accurate accruals, and simple absence management for tracking unused vacation days, mental health days, and more.

You’ll have full visibility into pto hours, avoid overlapping vacation time, and stay compliant with both local laws and internal policies.

Ready to simplify your PTO process? Start your 14-day free trial today—no strings attached.