On the Seventh Week of Year-End, Payroll Gave to Me…

A PTO request and some drama on TV!

Welcome back to The Twelve Weeks of Year-End.

Today is our Payroll Reality Show Edition!

The numbers are real,

the deadlines are tighter than HR’s holiday sweater,

and today’s episode is brought to you by the letter L 

— for Leave, Laws, and “Lord, help me.”

This week’s story: Leave, FMLA, and Your Paycheck — or as every payroll professional knows it, “The Great December Balancing Act.”

Previously on...

Last week, our hero (that's you, by the way) survived Bonus Season — conquering gross-ups, spreadsheets, and the occasional finance-induced panic attack.

But just as things started to calm down… HR dropped a bombshell.

“Oh hey, can payroll just check everyone’s PTO balances before year-end? And maybe reclassify some FMLA time while you’re at it?”

Cue the dramatic music.

Cue the wide-eyed camera zoom.

Cue the caffeine IV drip.

The Holiday Leave Plotline

Here’s the thing: every December, PTO and FMLA collide like two soap opera storylines that were never meant to meet.

One is about rest.

The other’s about rights.

And payroll?

We’re the ones keeping the script straight.

Let’s break down the characters:

• PTO (Paid Time Off): 

  Earned, used, tracked, and fought over like treasure.

• FMLA (Family and Medical Leave Act): 

  Job-protected, often unpaid, and always misunderstood.

• Holiday Pay: 

  The chaotic neutral energy that throws off both systems if not handled carefully.

  
  

When employees mix them up — or worse, take them simultaneously — payroll gets the plot twist.

What Payroll Really Needs to Know (and Explain Again)

1. FMLA ≠ PTO

   You can use PTO during FMLA, but not as FMLA.

   One is an entitlement. The other is an accrual.

   FMLA protects your job. PTO rewards your time.

   
   

2. Leave Type Impacts Taxable Wage

   Paid leave is subject to regular taxes.

   Unpaid FMLA isn’t — but deductions and benefits may still apply depending on your policy.

   
   

3. Communication is Everything

   Employees don’t see payroll law; they see “less money than last paycheck.”

   Translating regulations into real-life impact is where payroll shines.

This Week's Payroll Prep Checklist

1. Audit your leave balances.

   • Make sure PTO, sick, and personal leave are accurate, and carryovers are handled correctly.

2. Verify FMLA classifications.

   • Paid vs. unpaid, intermittent vs. continuous — details matter for reporting.

3. Coordinate with HR.

   • Confirm policies match what’s being processed. (They often… don’t.)

4. Check benefit deductions.

   • If someone’s unpaid, verify how their premiums are being managed.

5. Review year-end payout rules.

   • Some states require paying unused PTO; others don’t. Be sure which one you are.

Payroll Philosophy of the Week

Payroll doesn’t just calculate time off — we translate life into paychecks.

Every vacation, every sick day, every leave request tells a story.

We make sure those stories stay consistent, compliant, and fair.

Because behind every “out of office” message…is a payroll professional making sure the bills still get paid.

Confessional

So here we are — the seventh week of year-end, knee-deep in policies, emails, and “just one quick question” requests.

You’ve kept your composure through bonus season, balanced your reconciliations, and now you’re untangling leave codes like holiday lights from 2012.

Sneak Peek: “Payroll Errors Happen”

Next week, we move from time off to time oops.

We’ll talk about mistakes, miscommunications, and the fine art of fixing them before anyone notices.

Spoiler: it’s not magic — it’s process.

Take a breath, roll the credits, and give yourself the closing line you deserve:

“This season on Payroll: I did it all — accurately, on time, and with style.”

Now that’s reality TV worth watching. 🎥☕💚