vesting

noun

vest·​ing ˈve-stiŋ How to pronounce vesting (audio)
: the conveying to an employee of inalienable rights to money contributed by an employer to a pension fund or retirement plan especially in the event of termination of employment prior to the normal retirement age
also : the right so conveyed

Examples of vesting in a Sentence

Recent Examples on the Web Agrawal and Segal get the accelerated vesting of all of their shares while Gadde gets accelerated vesting of only half of her shares. Chris Isidore, CNN, 28 Oct. 2022 As such, the IRS views the vesting as a taxable event and 100% of the vesting shares’ fair market value on the vesting date are included in ordinary income. Royce Zimmerman, Forbes, 25 Aug. 2022 According to a recent survey by the Plan Sponsor Council of America, 44% of 401(k) plans offer immediate vesting. Cincinnati Enquirer, The Enquirer, 20 July 2023 Affected employees will be paid through Aug. 31, with accelerated vesting, career and immigration support, and paid health care through the end of August. Chris Morris, Fortune, 28 Apr. 2023 Everyone who is already rich gets richer, the long-suffering employees who are counting on the eventual vesting of their stock options watch their paper fortunes evaporate, and Neumann, temporarily disgraced but seemingly unbowed, walks away with a settlement of roughly a billion dollars. Washington Post, 22 July 2021 Stripe needed $4 billion in cash to pay withholding taxes and fees associated with the vesting and exercise of employee stock awards through 2024, according to an investor presentation reviewed by The Wall Street Journal. Peter Rudegeair, WSJ, 15 Mar. 2023 De Caires said that about half of their compensation had been comprised of equity vesting, so losing that portion of the severance package meant missing out on a large chunk of additional money. Clare Duffy, CNN, 6 Mar. 2023 That severance package was also to include bonuses, stock vesting and other benefits that could total tens or even hundreds of thousands of dollars per employee. Cyrus Farivar, Forbes, 10 Feb. 2023 See More

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'vesting.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1944, in the meaning defined above

Time Traveler
The first known use of vesting was in 1944

Dictionary Entries Near vesting

Cite this Entry

“Vesting.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/vesting. Accessed 29 Feb. 2024.

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