vesting period

Definition |

(50)

The period of time before shares are owned unconditionally by an employee in an employee stock option plan. If his/her employment terminates before this period ends, the company can buy back the shares at their original price.

Use vesting period in a sentence

You need to try and figure out the best way to proceed when you are still in the vesting period.

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There was a vesting period before it happened and I was glad because we really needed that time in order to do stuff.

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Since he was such a great employee he was awarded fifty thousand dollars in company stock. He just had to wait for the three year vesting period to be over prior to cashing out.

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