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Vest Financial Glossary

What is it? A term mainly used on the context of employee stock ownership, option programs and employer-matched retirement plans. In order to be fully entitled, the employee must stay associated with the firm for a certain number of years. Some vesting periods allow for full benefits after you work for them for a pre-defined number of years. Others gradually increase the benefits (percentage of vesting) you receive, up to 100% as you work more and more years.

Finance Term Definition Added By: Juliana

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