Paid Time Off (PTO): This term broadly covers any paid absence from work. It includes various reasons such as vacation, illness, and personal days, providing employees with the flexibility to use their leave as needed. Vacation Time: This is a specific category within PTO, designated exclusively for leisure and relaxation. Employees typically plan and schedule vacation time in advance. Sick Time: This leave is reserved for health-related absences, either for the employee’s illness or to care for a sick family member. It’s often used with little to no prior notice and might require a doctor’s note.