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Labor Compliance

Do You Have a PTO Policy in Place? Why It Matters More Than You Think

June 12, 2026 by Vik Singh

GovCon Wednesdays – Estimated Read Time: 6 minutes Paid Time Off (PTO) policies are often treated as an HR formality—something documented once and revisited only when issues arise. But in practice, PTO policies directly impact payroll accuracy, financial reporting, and, for government contractors, compliance and audit readiness. If your PTO policy is unclear or inconsistently applied, it can create “fringe” rate distortions that are much harder to defend during an… Read More

Filed Under: Payroll & Tax Tagged With: Compensated Absences, DCAA Compliance, FAR 31.205-6, Fringe Rates, GovCon Accounting, Labor Compliance, Payroll Compliance, PTO Policy, Total Time Accounting, VSINGH CPA

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