You may be required to pay employees for the PTO they have earned but do not use, or you may choose to voluntarily include unused time-off payouts in your PTO policy. This time should be paid out to employees who resign or are terminated. For employees paid on an hourly basis, the payout is often calculated by multiplying the employee's hourly rate by the number of unused PTO hours. For salaried employees, the process may involve determining the daily or hourly rate based on their salary and then calculating the payout similarly.