How do you record PTO you were paid out on

Question

I just resigned from my job, and had accrued PTO. How should I be recording this payout?

Boatnmaniac · Answer

As far as the IRS is concerned, PTO payout is just like any other 
earned, taxable income so it should be treated like any other paycheck 
in Quicken, too.
If your PTO was or will be paid out along
 with your final separation paycheck and if you have a Paycheck Reminder
 or Income Reminder already set up for your paychecks you can modify the
 final Reminder by editing the gross Salary amount to include the PTO or
 you can add a separate Salary sub-category of Vacation or Sick Leave 
(since that is what PTO is for, anyway) for it.  If you want, you can 
even go to Category List and edit the name of the sub-category you 
select to change it to PTO.You will then also want to change the deductions and taxes amounts since those will be changing, as well.Of
 course, you probably can't make these changes to the Reminder quite, 
yet, unless you have already received your final paycheck showing all 
the category amounts for pay, deductions, taxes, etc.If your 
PTO will be paid out separately from your final paycheck (not common), 
you can set up a 1X Paycheck Reminder to accomplish this.  Or you can 
simply enter it as a split category transaction with the amount of the 
transaction being your net pay and the category splits including your 
gross PTO and any taxes and deductions that are taken out of it.If
 you have not been using a Paycheck Reminder or Income Reminder to 
categorize it for tax reports and simply have been entering your 
paychecks as Net Salary, then you could do the same with your PTO payout
 and maybe enter a note in the Memo field regarding it.

NotACPA · Answer

I'll betcha that, on your year end tax documents,this will show up as salary.I'd record it that way in Q also.