Colorado PTO payout law & pay rights

Yes. Colorado treats accrued vacation as earned wages that cannot be forfeited. Your employer must pay out all unused accrued PTO when you leave — regardless of the reason for separation. Use-it-or-lose-it policies are prohibited. Colorado treats earned vacation as wages; forfeiture of accrued vacation is prohibited.

In Colorado, the deadlines differ based on how your employment ended. If you were terminated by your employer, your final paycheck is due immediately on the day of termination. If you resigned voluntarily, the deadline is next scheduled payday (may be mailed within 14 days if requested). If your employer misses these deadlines, you can file a wage claim with the Colorado Department of Labor.

The current minimum wage in Colorado is $14.81/hr. Some cities and counties within Colorado may have a higher local minimum wage. Check with the Colorado Department of Labor for the most current rate.

If your employer fails to pay your final wages by the legal deadline, you can file a wage claim with the Colorado labor enforcement agency. You may be entitled to the unpaid wages plus penalties or interest depending on state law. You can also file a civil lawsuit or contact the federal Department of Labor Wage and Hour Division if your employer is covered by federal law. Document all communications and keep records of your hours worked and pay stubs.

In most cases, no. PTO payout rules in Colorado apply primarily to accrued vacation or PTO. Sick leave is typically treated separately — unless your employer has a combined PTO bank or the sick leave has vested as wages under your employment agreement. Check your offer letter and employee handbook for the specific terms of your employer's sick leave policy.