The State of Paid Time Off (PTO) in 2025: Insights, trends, and tips for employers

Paid Time Off (PTO). Do you use your paid leave for dream vacations by the beach or cozy days on your couch? Are you precise with your planning to make the most out them? Or do you barely use your allowance like many people around the world?

PTO is a crucial tool for employee well-being and productivity, but are your workers making the most of it? The data says no. Between leaving PTO on the table, favoring specific days, and hesitating to take long breaks, there’s still a lot of work to be done to encourage a healthy time-off culture.

Every year for the past five years, our experts have pulled together data from over 250,000 Timetastic users to give you unprecedented insight into how we’re really using PTO…

PTO in a nutshell

The average annual leave allowance has dropped by nearly 10 days in the past five years.
Three full work weeks (14.8 days) was the average amount of unused holidays in the US in 2024.
Just over 30% of workers in the US took a full week off in the past 12 months, compared with 50% in the UK.
The most popular days off were December 23and July 5.

Top trends in leave allowance and use

What’s been going on with PTO? The statistic that sticks out the most is that PTO in the US dropped dramatically. And people aren’t using anywhere near the amount they’re entitled to! PTO dropped from 34.5 days in 2019 to just 25.5 days in 2024, with the number of unused days dropping in line with that figure from 25.5 days in 2010 to 14.9 days in 2024.

How have they changed over the years?

Average annual PTO allowance per employee:

2019: 34.5 days
2020: 30.8 days
2021: 30.1 days
2022: 24 days
2023: 25.2 days
2024: 25.5 days

Average unused PTO allowance per employee:

2019: 25.4 days
2020: 23.9 days
2021: 22.6 days
2022: 19.4 days
2023: 15.9 days
2024: 14.9 days

But what does it all mean?

Things are looking up, that’s for sure. The average number of unused holidays per employee has decreased by 10 days in the past five years. This means that people are understanding the value of taking time off and using PTO to rest is positive for individuals and businesses.

But there’s still work to be done. Almost 60% of entitlement still isn’t being taken. Cultural factors, such as hesitation to step away from work or workplace pressures to always be “on,” are likely contributors.

Expert thought:

"Unused PTO is often a signal employees feel overworked or unsure about taking time off," explains Oliver Higenbottam, Timetastic Managing Director. "Business leaders need to normalize PTO requests and emphasize its importance for both individual and organizational success.”

Steps you can take:

Remind your employees to take leave. Use tools like Timetastic’s Burnout Board to see who’s forgetting about leave.
Set the right example and have time off yourself. Create a work culture where time off is used and appreciated from top to bottom.
Monitor unused leave and consider flexibility. Can you roll over days into the next year or offer mid-year breaks?
Create a simple annual leave policy. A clear annual leave policy makes it easier for everyone to follow the process.

Popular days and weekly trends

When it comes to the most requested dates for PTO, Americans predictably center their time off around family-oriented holidays like Thanksgiving and Christmas.

Top 2024 PTO Dates:

December 23
July 5
November 25
November 27
December 26

December overwhelmingly dominates PTO requests year after year, reflecting the importance of the winter holiday season. But of course, the Fourth of July comes in close second!

Tips for managing peak PTO dates:

Plan early: Use historical data from tools like Timetastic to forecast peak holiday requests and allocate resources.
Balance staffing proactively: When PTO requests cluster around holidays, make sure shifts and workloads are covered to limit disruption.
Encourage staggered leave: Incentivize time off outside peak seasons to alleviate scheduling pressure during the busiest times of the year.

4. Keep up to date. Know who’s off when with our Wallchart that makes viewing and planning hassle-free.

Cultural differences in taking full weeks off

Extended breaks are often essential for true mental and physical rejuvenation, yet only 32% of US employees took a full week off in 2024. This number is significantly behind Europe, where statutory leave benefits and cultural attitudes encourage longer breaks. For comparison:

Germany: 69% of employees took at least one full week off.
UK: 57% of employees did the same.
US: Only 32%.

Statutory differences help explain these gaps. The US offers no legally mandated PTO, while Germany guarantees a minimum of 20 days (and often provides more through employer policies).

Supporting longer breaks:

Here’s how you can address the gap in full-week breaks:

Use Timetastic’s Burnout Board to monitor employees who haven’t taken substantial time off and send them nudges.
Educate teams on how taking longer holidays can recharge productivity and creativity.
Develop internal policies encouraging “use-it-or-lose-it” allowances to ensure PTO is fully taken.

Parental and compassionate leave

While maternity and paternity leave still vary widely across US employers, the data suggests new parents need further support.

Average leave taken for new parents in 2024:

Maternity leave: 45.7 days
Paternity leave: 11.9 days
Shared parental leave: 22.1 days

Caregiving extends beyond parents as well. Compassionate leave is growing, with US employees taking an average of 1.93 days per instance to manage personal or family emergencies over the past year.

Tips to support families:

Offer clear policies that are easy to find and use for parental and caregiver leave.
Support flexibility with hybrid and remote options for returning parents.
Use insights from Timetastic’s tracking tools to identify trends and create policies that meet employee needs.

Why PTO is vital for business

Encouraging PTO is a smart business strategy. Employees who take time off report better well-being, higher job satisfaction, and fewer stress-related absences. For employers, this translates into higher retention rates, stronger team morale, and increased productivity.

Benefits of encouraging PTO:

Improved focus: Regular breaks refresh employees’ creativity and decision-making.
Reduced turnover: Employees are likelier to stay when they feel supported in taking time off.
Enhanced team dynamics: Rested employees are happier, more engaged, and ready to collaborate effectively.

Building a PTO-friendly culture

If it’s tricky for employees to use their PTO, they won’t. Employers need proactive strategies to destigmatize leaving work behind. Digital platforms and internal communication can make a big difference.

Simple steps you can take:

Remove barriers: Tools like Timetastic simplify scheduling, reduce admin work, and ensure employees feel confident requesting leave.
Monitor behavior: Analyze PTO patterns to see who may need encouragement or who isn’t taking enough time.
Set examples: When leaders take breaks, it normalizes PTO for the entire team.
Communicate often: Share quarterly PTO balance updates to nudge employees toward booking days they’ve earned.

Conclusion of the PTO statistics

"The data makes one thing clear – it’s time to stop seeing PTO as an afterthought," says Higenbottam, Timetastic Managing Director. "It’s a tool for productivity, well-being, and innovation. Employers who support smarter leave policies are investing directly in their team’s success.”

Whether it’s encouraging time off during quieter periods or rallying for longer vacations, 2025 is the year to take your PTO strategies to the next level. With Timetastic as your leave management partner, planning time off – not stressing about it – becomes the norm.

Start your free trial today and see how Timetastic can transform the way your team plans their time away.