DayCents

Vesting

Vesting is how you earn full ownership of employer contributions over time. Your own contributions are always 100% yours, but matching funds may vest gradually — you might keep 20% after one year, 40% after two, and so on, forfeiting the unvested portion if you leave early.

Vesting schedules are common with 401(k) matches, stock options, and RSUs. Knowing your schedule matters before changing jobs: leaving a month before a vesting date can cost real money you'd otherwise keep.