# Accrued PTO

Vacation and sick time already earned by staff but not yet taken.

It is a debt the business owes its people, and it changes hands with them. Rehired employees expect their balances honored, and several states require unused vacation paid out in cash the day employment ends, which an asset sale technically triggers for everyone at once. Get the accrual report in diligence, decide honor-or-payout before the announcement, and put the balance into the [working-capital](https://searchspheresource.com/glossary/working-capital) negotiation so the first payroll cannot surprise you.

In numbers: Twenty employees averaging 60 banked hours at $28 an hour is a $33,600 obligation that appears on no broker [teaser](https://searchspheresource.com/glossary/teaser).

Source: https://searchspheresource.com/glossary/accrued-pto
Not dated: A definition is editorial: what a term means, why it matters, and an example. None of it reads a source that can go stale, so there is no date to take and a stamped one would be the build time wearing a costume.

Site index for machines: https://searchspheresource.com/llms.txt