Vacation Payout Calculator
Enter unused vacation hours, hourly rate, and the state where the employee works.
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Payout owed — California
$2400.00
Payout owed by state statute — regardless of company policy.
Payout breakdown
- Vacation pay (80.0h × $30.00)
- $2400.00
- Equivalent in days (8h/day)
- 10.0 days
Rule details for California
Labor Code §227.3 + §201/§202 + §203
Earned vacation is wages under Labor Code §227.3. Use-it-or-lose-it forfeiture is banned (accrual caps are allowed; forfeiture isn't). Final pay is due immediately on involuntary discharge or within 72 hours of voluntary resignation; late payment triggers the §203 waiting-time penalty (one day of wages per day late, up to 30 days).
If this is a combined PTO bank
California may treat a combined vacation and sick bank as payable vacation. Confirm which hours belong in the balance before using this result.
Estimates vacation pay only. Waiting-time penalties and other final-pay remedies are not calculated. How the calculation works
Common questions
Which states require employers to pay out unused vacation at termination?
This calculator models California, Colorado, Massachusetts, Nebraska, Montana, and covered Maine employers as requiring payout regardless of company policy. Other states generally follow the written policy or have no specific payout statute.
What's the "combined PTO trap"?
A combined PTO bank merges vacation and sick time. In mandatory-payout states, the combined balance may be treated as vacation and become payable at separation. Check the policy structure before entering the balance.
Is sick leave paid out at termination?
Sick leave is generally not paid out at separation, but a combined PTO bank can be treated differently. Enter vacation hours only unless the applicable rule treats a combined bank as payable.
How much is the California §203 waiting-time penalty for late vacation payout?
California Labor Code §203 can impose up to 30 days of wages when final pay, including earned vacation, is willfully late. This calculator does not estimate that penalty because it does not collect the separation and payment dates.
Can an employer have a use-it-or-lose-it vacation policy?
California and Colorado prohibit forfeiture of earned vacation. Other states may treat earned vacation as wages or follow the written policy. An accrual cap stops new accrual after a limit; it is different from forfeiting time already earned.
I'm a remote worker — which state's law applies?
Start with the state where the employee physically performs the work, not the employer’s headquarters. Multi-state situations can be fact-specific, so confirm the applicable rule before final pay.
Clockspot keeps clock-ins, corrections, approvals, and payroll-ready hours connected so owners and managers can review the workweek before payroll.
Keep time-off types, balances, requests, and records organized before final pay. See how Clockspot tracks vacation.