# Vesting

*Retirement & Benefits — Finicade finance glossary*

Vesting is the process by which employer contributions or equity grants become genuinely yours. Cliff vesting gives you nothing until a date and then everything; graded vesting hands over a slice each year. Your own contributions always vest immediately. The practical consequence is that resigning three months before a cliff can cost tens of thousands, which is exactly what the schedule was designed to discourage.

**Also known as:** vesting schedule, cliff vesting, graded vesting

**Related terms:** [Employer Match](https://finicade.com/glossary/employer-match), [Restricted Stock Units (RSUs)](https://finicade.com/glossary/restricted-stock-units), [Employee Stock Options](https://finicade.com/glossary/employee-stock-options), [Severance Pay](https://finicade.com/glossary/severance-pay), [ESOP](https://finicade.com/glossary/esop)

Source: https://finicade.com/glossary/vesting