Vesting schedules

Master vesting schedule management to properly structure equity incentives and protect your startup's interests while motivating your team.

Vesting Management Features

Flexible Vesting Schedules

Configure vesting periods and cliff periods to match your equity strategy

  • Standard 4-year vesting with 1-year cliff
  • Custom vesting periods (monthly, quarterly, annual)
  • Cliff periods to protect against early departures
  • Accelerated vesting for performance or events

Automated Vesting Calculations

Automatic tracking of vested vs. unvested equity over time

  • Real-time vesting progress calculations
  • Automatic monthly vesting updates
  • Cliff date tracking and notifications
  • Vesting acceleration trigger management

Employee Vesting Portals

Self-service portals for team members to track their equity vesting

  • Personal vesting timeline and progress
  • Vested vs. unvested equity breakdown
  • Exercise windows and option details
  • Tax implications and planning information

Types of Vesting Schedules

Time-Based Vesting

Equity vests over time according to a predetermined schedule

Example: 25% after 1-year cliff, then 1/36th monthly for remaining 3 years

Performance-Based Vesting

Equity vests based on achieving specific performance milestones

Example: Equity vests upon reaching revenue targets or product milestones

Hybrid Vesting

Combination of time-based and performance-based vesting criteria

Example: 50% time-based vesting, 50% based on company performance metrics

Accelerated Vesting

Immediate vesting triggered by specific events

Example: Full acceleration upon company sale or involuntary termination

Vesting Best Practices

Use Standard Terms

Start with industry-standard 4-year vesting with 1-year cliff for most employees

Consider Cliff Periods

Implement cliff periods to protect against early employee departures

Plan for Acceleration

Define clear acceleration triggers for change of control or termination events

Communicate Clearly

Ensure employees understand their vesting schedules and what they mean

Vesting Schedules Configured!

Excellent! You now understand vesting schedule management. Next, learn how to create and manage stock option grants for your team.