Unlimited PTO meaning: no set number of days off

Unlimited PTO means your employer sets no fixed number of paid days off. You take time when the work allows and your manager agrees. People on it take about two days a year more than people with a set allowance.

Last updated

We offer unlimited PTO, so take what you need.

What did they mean?

Filed under U to Z jargon.

How unlimited PTO works

No balance, still a request

In corporate jargon, unlimited PTO is a leave policy with no number in it. You still ask for time off, and your manager can still say no.

Nobody tracks a balance, because there’s no bank of PTO days that fills up and runs down.

How much people take

US full-time workers with no cap took 16 days off in a year. Those with a set number of days took 14.

Workers asked about an unlimited policy who say they’dShare
Take more time offHalf
Take less time off23%

Who has it and who wants it

About one US worker in ten has unlimited time off, and far more want it.

US workersShare
Who would pick unlimited over any fixed number of days37%
Who think every company should offer it43%
Who would consider a lower-paid job for it26%
Who wouldn’t take a new job without it19%
Gen Z workers who think all companies should offer it51%
Baby boomers who think so32%

Why unlimited PTO feels like a trap

Nobody knows what normal is

Unlimited PTO feels like a trap because nobody knows how much time off is normal. On a fixed allowance, ten days is ten days. With no number, asking for three weeks means deciding you’re worth three weeks.

Teams end up copying whoever takes the least. The days nobody took aren’t written down anywhere.

Unlimited, after probation

Many workers think unlimited PTO should wait until you’ve been at the company a while. Before that, new hires would get a limited number of days.

Workers who sayShare
Unlimited PTO should only go to longer-serving staff37%
New hires should wait a year before they qualifyMore than 4 in 10

The fix people ask for

85% of workers say it would help if their employer required a minimum number of vacation days each year. Teams can set one as a house rule, such as two weeks each, booked by June.

The out-of-office test

To test an unlimited plan, open the shared calendar and count the full-week OOO blocks between June and August. If there are none, unlimited has come to mean zero.

Unlimited PTO in a job ad

A perk on the red-flag lists

Unlimited PTO with no usage guidance is on a job-ad red-flag list, next to “rockstar” and work hard, play hard. A warm phrase in an ad, like we’re a family here, can take the place of a number. With unlimited PTO, the missing number is how many days the team takes.

Questions to ask before you sign

Ask about the team’s habits, since the policy itself has no number.

  • “How many days did people on this team take last year?”
  • “When did the manager last take a full week off?”
  • “Is there a minimum anyone has to take?”
  • “Who covers when someone is away, and who covers for them?”

A policy email about unlimited PTO

Subject: Our new time-off policy

Team, from January 1 we’re moving to unlimited PTO time off when we can spare you. There’s no balance to track anymore. Take what you need, plan around launches and quarter-end, and give your manager at least two weeks’ notice.

Unlimited PTO in a sentence

  1. We offer unlimited PTO, so take what you need.

  2. The offer comes with unlimited PTO, Freya, but my future manager hasn't taken a day off since March.

  3. Ask what people took last year, Kofi. Unlimited PTO with nobody using it is a warning.

  4. We're moving to unlimited PTO, Signe, so the 19 days you've saved won't be paid out when you leave.

Questions about unlimited PTO

Is unlimited PTO good or bad?

Good where managers take real vacations and say how much is normal, and bad where nobody knows the norm and people have to guess. Nearly one in four workers say they'd take less time off on an unlimited plan.

Why is unlimited PTO called a trap?

There's still a limit, but nobody tells you what it is. With no balance to point at, every request is a judgment call. Many people ask for less so they don't look like the one who takes the most.

How many days should you take off with unlimited PTO?

On average, people with unlimited plans take about 16 days a year. Ask your manager what the team took last year, and plan on at least that many days.

Do people take more time off with unlimited PTO?

A little. Workers on unlimited plans average about 16 days off a year, against 14 for workers with a set allowance. With an unlimited plan, half of workers say they'd take more days off, and nearly a quarter say they'd take fewer.

How does unlimited PTO work?

There's no balance of days to track, so you take time off as you need it, within any guidelines the policy sets. Depending on the company, you may need approval first, based on how many days you ask for and what the business needs.

What does unlimited DTO mean?

DTO is discretionary time off, a name often used for unlimited PTO. There's no fixed number of days, though the policy often comes with guidelines such as a limit on weeks off in a row. One of the largest US software companies moved its salaried US staff to a policy with that name in January 2023.

Feedback

Tell us what broke, what reads wrong or which game to build next.

What is it about?

Something broke or looks wrong

A game or a feature to add

A wrong fact, a bad definition or a joke that misses

Anything else

What happened, or what you'd change. Up to 2,000 characters.

The page you're on. Change it, or clear it if your note is about the whole site.

We ask for no name or email, so we can't reply. Leave out anything that says who you are. We keep notes for 90 days and never publish them. What the site keeps

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.