Oregon leaves PTO payout to your employer

Not automatically. Oregon has no law forcing payout, so your written PTO policy or contract decides.

Data updated September 26, 2026

Key facts for Oregon

PTO payout when you leave: Depends on employer policy
Legal authority: Or. Rev. Stat. §§ 652.140, 652.150
Final paycheck if you quit: Last day of work if you gave at least 48 hours' notice (excluding weekends and holidays); otherwise within 5 business days or next regular payday, whichever is earlier
Final paycheck if fired or laid off: End of next business day
Late final pay: State penalty applies details
Paid sick leave: Required by state law
Minimum wage: $15.55/hr
Overtime: 1.5x after 40 hrs/week

Source

Rule: Or. Rev. Stat. §§ 652.140, 652.150
Published by: oregon.gov
Last updated: September 26, 2026

How we source and check data

Work out what you are owed

Salary and unused days in, gross payout and an after-tax estimate out.

Calculate my Oregon PTO payout

Oregon minimum wage All states

Does Oregon require PTO payout?

Not automatically. Oregon has no law forcing employers to pay out unused PTO, so it comes down to your written policy or contract. If the policy promises payout, that promise is enforceable as wages. The controlling authority is Or. Rev. Stat. §§ 652.140, 652.150.

How Oregon treats accrued PTO

Oregon does not require vacation payout. BOLI says employers must honor any established policy or agreement on paying accrued vacation at termination, so payout depends on that policy. Oregon's paid sick time law does not require payout of unused sick time at separation.

Authority: Or. Rev. Stat. §§ 652.140, 652.150

Late payment penalty in Oregon

Penalty wages of 8 times your regular hourly rate for each day final wages go unpaid, up to 30 days. BOLI may also impose a $1,000 civil penalty for willful failure.

Statute: Or. Rev. Stat. §§ 652.140, 652.150

Your other Oregon entitlements

PTO payout is one line on your final payslip. These are the other Oregon rules that change what that payslip should total.

Paid sick leave: Oregon mandates paid sick leave under the Oregon Sick Time Law, accruing at 1 hour per 30 hours worked, with up to 40 hours usable per year. Oregon does not require employers to pay out unused sick time when you leave. Your employer's written policy may be more generous. Check your sick leave balance .
Minimum wage: The Oregon minimum wage is $15.55/hr , above the federal $7.25 (effective July 1, 2026). Your PTO payout is paid at your own rate of pay, not the minimum, but the minimum is the floor below which no hour may be paid. Oregon minimum wage details .
Overtime: Oregon pays overtime at 1.5x after 40 hours in a week . Unpaid overtime is often owed alongside unpaid PTO, so it is worth checking both before you sign anything. Calculate your overtime .

Sources for this page

Oregon labour department — PTO and wage payment oregon.gov
US Department of Labor — state wage payment laws dol.gov

Common questions

Does Oregon require employers to pay out unused PTO?

When must my final paycheck arrive in Oregon if I quit?

If you resign in Oregon, the deadline is: Last day of work if you gave at least 48 hours' notice (excluding weekends and holidays); otherwise within 5 business days or next regular payday, whichever is earlier. If you are fired or laid off instead, the deadline is: End of next business day. Any PTO your employer owes you should be included in that payment rather than sent separately later.

What happens if my Oregon employer pays late?

Oregon attaches a penalty to late final wages: Penalty wages of 8 times your regular hourly rate for each day final wages go unpaid, up to 30 days. BOLI may also impose a $1,000 civil penalty for willful failure. That penalty is separate from the wages themselves, so a late payment can end up costing an employer far more than the original amount. Keep a record of your separation date and the date you were actually paid.

Can Oregon employers use "use it or lose it" PTO policies?

Generally yes, provided the policy is in writing and was communicated to you. Oregon does not treat accrued PTO as protected wages in every case, so a clearly disclosed forfeiture or year-end reset can be enforced. An undisclosed or ambiguous policy is much weaker.

Is a PTO payout taxed differently in Oregon?

No. A PTO payout is ordinary wages, so it is subject to federal income tax withholding, Social Security at 6.2%, Medicare at 1.45%, and any Oregon state income tax. Employers often withhold federal tax at the 22% supplemental wage rate on a lump sum, which can make the payout look more heavily taxed than your normal paycheck; it evens out when you file.

PTO payout in other states

Alabama Connecticut Idaho Louisiana Mississippi New Jersey Oklahoma Texas All states