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What is Paid Time Off (PTO)
Paper timesheets are relics of the past. They make time tracking errors too easy and costly time theft too hard to spot. If that doesn’t sound like a big deal, consider this – Timesheet errors are a major cause of wage and hour lawsuits, which have risen by more than 400% since 1997, costing employers $2 billion in back wages and fines.
Paid Time Off (PTO) includes vacation time, sick leave, personal time, federal holidays, family leave, maternity and paternity leave. Ad free drm audio converter 2 3 0 pdf.
PTO is not required by the Fair Labor Standards Act (FLSA), but it is officially addressed by some state laws that, as such, override the FLSA in their respective states. In addition, regardless of the FLSA, PTO is often a workplace benefit in most states.
Some state laws such as the ones in California, Florida, and Washington, also recognize safe leave, sometimes paid, for cases of domestic violence and similar instances.
How is PTO accrued and handled
Employers may draw up an official PTO policy that requires the employees to fulfill certain requirements before they can start using PTO. This may be the specific number of hours, days, weeks, or pay periods worked.
In addition, some state policies calculate accrued PTO based on the number of employees in the company or based on employee classification.
State laws also decide how the employees can handle their accrued PTO. The options include using PTO, cashing it out, rolling it over, or forfeiting it.
Employers may also offer unlimited PTO. The employees can then negotiate the exact dates and the number of days they want off with their managers. Additional rules concerning time off requests may apply.
How to stay compliant with PTO Policies
Keep employees up to date with state and company PTO policies
Many states require that employers provide the employees with always accessible documentation detailing the PTO policies relevant to the state, but also to the company. The employees must be made aware of the PTO they can accrue over the year, how they can accrue it, and how they can handle it.
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Keep employees up to date with current PTO accrual history and balance
Many states require that employers provide the employees with always accessible documentation showing how many PTO they’ve used up so far, and how many PTO they have left. An efficient way to document and keep track of all employee PTO is by using a timesheet app.
What is Clockify
Clockify is a modern employee timesheet app that works in a browser. Clockify streamlines timesheet collection and time analysis so you no longer have to fill out, scan, and store paper timesheets.
By using Clockify, you no longer have to rely on traditional physical timesheets and time cards, complex timekeeping systems, Excel spreadsheets, or rule-of-thumb estimates.
Clockify is a time tracker that lets you track attendance of your employees and their work hours. It's so simple that people can start using it in less than a minute and track their planned leaves.
In addition to tracking vacations and time off, employees can also track their work hours and overtime. Then, in reports you can see PTO accrual and calculate balance by exporting reports in Excel.
Learn more about attendance tracking / Monday, 20 January 2014 / Published in Integrations
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