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CA allows employers to put a cap on accrued vacation. See https://www.dir.ca.gov/dlse/FAQ_Vacation.htm

> Q. My employer's vacation policy provides that once an employee earns 200 hours of vacation, no more vacation may be earned (accrued) until the vacation balance falls below that level. Is this legal?

> A. Yes, [and a bunch of examples]

They're only required to cash out your vacation at the end of your employment, and rolling over vacation isn't really a thing because you accrue it incrementally with each paycheck. See "Q. How is vacation earned?" in that link for more info.



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