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In this video, Katie from Gusto discusses setting up a Paid Time Off (PTO) plan. PTO encompasses sick days, holidays, and vacation days, which some businesses may combine under this term. She clarifies that the video does not address other types of leave, such as FMLA or military leave, focusing solely on PTO. While offering PTO is not federally mandated, certain state or local regulations may require it. Providing PTO is beneficial for recruiting and retaining a strong team. The video promises to outline the steps for establishing a PTO plan, starting with fundamental considerations on whether and how to implement one.