Accrued vacation pay

The amount owed to employees as of a specified date for the amount of vacation pay that has been earned but has not been taken. For example, the accrued vacation pay as of December 31, 2015 is the amount the employees have earned as of December 31, 2015 but have not taken as of that date. The employees might take the vacation time during 2016 or they might be paid the amount in 2016.