When you’re building a team for your small business, chances are, you’re hiring different types of employees. For example, let’s say you own a retail business. You might hire a staff of full-time employees to work in your corporate office doing things like marketing strategy—and then also hire a larger group of part-time employees to work the floor at your retail location.
All of those employees are important, critical parts of your team. To help them feel like a part of your organization, you want to recognize them for their contributions, ensure they have a supportive work environment, and treat all of your team members the same, regardless of their status or title.
But what about paid time off? When it comes to your PTO policy, do you have to treat all of your employees the same? Or can you offer different PTO programs (including vacation time, sick time, and personal time) to different employees?
Yes, you can offer different time off packages to different employees
When it comes to PTO, you’re legally allowed to offer different structures to different employees, as long as the basis for the different employee benefits isn’t grounded in any type of discrimination. So, in other words, you can’t create different policies based on things like race, gender, sexual orientation, religion, age, nationality, or any other characteristics protected by the U.S. Equal Employment Opportunity Commission.
That being said, if there are other ways that you group your employees—and you want to offer different paid time off packages to those groups—it’s well within your legal right to do so. Some of the different structures you may want to consider offering different types of employees include:
- Full-time vs. part-time employees. Your full-time employees work more hours than your part-time staff—so many employers offer more sick days, vacation days, and personal days to their full-time or salaried staff vs. their part-time workers.
- Tenure-based. Some companies offer increasing time off based on the amount of time an employee has been with the company. So, for example, the vacation policy for a new employee might be eight vacation days per year—but after they’re three year anniversary with the company, the next year their vacation days get bumped up to 12 days per year.
- Incentive-based. Some companies also offer additional personal days or vacation days as a bonus, incentive, or reward (for example, getting an extra day of personal time off for hitting a sales goal or after landing a promotion). This structure won’t necessarily work for every type of employee, but could be an effective motivating tool for others.
How to write an effective PTO policy for all of your employees and packages
If you’re going to be offering different options for different employees, it’s super important to make sure that every employee is crystal clear on the PTO they’re entitled to, including the number of days, total PTO hours, sick leave, and paid leave/unpaid leave options. And the best way to do that?
Creating a thorough, detailed PTO policy for each program you offer.
Writing clear policies for each of the PTO options you offer—and then giving the relevant policy to the employees it applies to—can help ensure that all of your employees understand how their time off is structured, how much time off they’re entitled to, and how and when they’re eligible to take that paid time off.
Here are some things you’ll want to include in each policy:
- How vacation, sick, personal, and other time off is allocated. There are different ways you can allocate vacation days, sick days, and personal—and you want to be clear about how time off is allocated from the get-go. For example, do you offer a certain number of days off up front—or do employees accrue days off based on their work hours? If the time off is allocated on an accrual basis, what happens to accrued vacation and sick leave at the end of the year? Does the unused vacation and sick time roll over to the next year? Or does the employee get a pay out at the end of the year, with a new accrual period starting January 1?
- How much time off the employee is entitled to. The policy should also clearly state how much time off your employee is entitled to (which again, includes the number of days and PTO hours) and how that time off is broken down (including vacation time, sick time, and personal time).
- Any leave the employee is eligible for. In addition to standard time off, if your employee is eligible for any employee leave, either paid or unpaid, (like FMLA leave or other types of medical leave or sick leave), make sure to include that in your policy.
- How and when the employee can take paid time off. If your employee has to wait a certain amount of time before being eligible to take paid time off (for example, 30 days after being hired), you’ll want to include that in your policy. It’s also important to include procedures for how employees should request time off (for example, how to put in a vacation leave request or what to do if they need to call in sick).
To make sure you and your team are all on the same page with paid time off—regardless of which policy applies—make sure to have your human resources department review relevant policies with new employees during the onboarding process, answer any questions, and get them to sign a document stating that they understand the policy.
Create policies that work for your team—whether that’s a uniform policy or different PTO for different employees
With PTO, there are options when it comes to how to structure your company policy; you can offer a blanket PTO policy that applies to all of your employees or create separate policies that apply to different types of employees, whether that’s full-time vs. part-time employees, exempt vs. non-exempt employees, or new vs. tenured employees. But the key is to choose a structure that makes sense for you, your team, and your business (and is compliant with all applicable federal laws, state laws, and local laws)—and then make sure that every employee understands the policy and how it applies to their time off.
1. Introducing Yourself
Your introductory email needs to pack a lot of information into a small package. Try something like this:
Sample
Text Copied to Clipboard
Copy

Hello Jane,
My name is John Doe and I work for ABC Agency, where we provide business insurance policies to many of Dallas' rockstar small businesses.
Congratulations on your new business, Jane's Bakery. Are you wondering if you have all the insurance you need? Or if your policies will really cover you in a pinch?
At ABC Agency, we pride ourselves on providing robust, comprehensive coverage options to companies like yours with flexible, pay-as-you-go plans.
Are you available this week to talk more about how we can help? I can help you find the most affordable rates and the best policies out there.
I look forward to speaking with you soon.
Cheers,
John Doe
2. Presenting a Quote
Once you've met with your potential client, a quick reply with their quote will get the ball rolling.
Sample
Text Copied to Clipboard
Copy

Hi Jane,
Thanks so much for meeting with me this morning. I loved touring Jane's Bakery–I can still smell those delicious chocolate chip cookies baking! You have a great location, and I'm sure you're going to do great on Front St.
After reviewing my notes, I've pulled together an insurance quote for you (attached). I recommend a business owner's policy. A BOP includes several insurance products in one: liability, property insurance, and business interruption insurance. It offers robust coverage at a competitive price.
I'll call you in a few days to see what you think about this insurance plan. In the meantime, if you have any questions, don't hesitate to email me or call me at [phone number].
Again, thank you for your time today. I look forward to working with you in the future.
Cheers,
John Doe
3. Thanks for Purchasing a Policy
Gratitude is important! It's never a bad idea to thank your clients for their business.
Sample
Text Copied to Clipboard
Copy

Hi Jane,
Thank you for choosing a business owner's policy with ABC Agency. We know it's so important to get the right coverage for your business, and we are honoured you've placed your trust in us.
We're excited to work closely with you, and our no. 1 goal is to make sure you're business is always protected.
Do you have any questions? We are here to help. Reach out whenever something comes to mind.
Thank you again for choosing ABC Agency to insure Jane's Bakery.
Cheers,
John Doe
4. Welcome Email
A welcome email helps clients feel like you're there to help–and can softly pitch other insurance products you offer.
Sample
Text Copied to Clipboard
Copy

Dear Jane,
Welcome to the ABC family! We are thrilled to have you as a new customer and can't wait to meet all of your insurance needs.
As an independent insurance agency, we work with multiple insurance providers to find the best coverage options for all our customers. If you need any other type of insurance–like [include additional offerings unique to your agency, like life insurance, health insurance, home insurance or anything else]–we can help you too.
Do you want to discuss any of these policies?
Cheers,
John Doe
5. Introducing a New Product
A happy client may want to expand their business with you.
Sample
Text Copied to Clipboard
Copy

Hello Jane,
I hope all is well with you and Jane's Bakery. I stopped in yesterday for a blueberry muffin and coffee, and they were delicious. I loved the hint of cinnamon in the muffin! Was that your idea?
I wanted you to be the first to know we are now offering commercial vehicle insurance to our policyholders. Auto insurance for your catering vans is super important since your personal car insurance won't cover them.
We're offering this insurance coverage solely to our current business clients at the moment and have some very competitive rates.
Would you like me to work up a quote for you?
As always, thanks so much for being a part of the ABC family.
Cheers,
John Doe
6. Asking For Referrals
Once your relationship is established and comfortable, let your clients help you grow.
Sample
Text Copied to Clipboard
Copy

Hi Jane,
You've been a valuable member of the ABC family for two years now, and we so appreciate your business–not to mention the muffins you supply for our monthly meetings!
Because you are a valued policyholder, I wanted to ask a quick favour. I know you are active in the local Chamber of Commerce, and I'm hoping you might know some colleagues who would benefit from working with our insurance company.
Referrals are one of the most effective ways to connect with our community since people really trust their friends, family and colleagues. Is there anyone you'd recommend I speak with?
Remember that in addition to business insurance products, we offer everything from life insurance policies to pet insurance.
As a thank you for your help, we will send you an Amazon gift card of $100 when your referrals buy insurance from us.
Thanks so much for your help!
Cheers,
John Doe
7. Policy Renewal
If your client needs to renew their policy with you, send an email like this:
Sample
Text Copied to Clipboard
Copy

Hi Jane,
I hope you're doing well! What a year it's been—from being listed as one of the top 5 bakeries in Dallas to being an official vendor for the city—you have so much to be proud of.
Just a heads up that your business owner's policy is up for renewal soon and will expire on June 15, 2023.
If you're still happy with the coverage, we can easily renew it for you.
Do you have some time to chat this week?
Looking forward to serving you again!
Cheers,
John Doe