Value vesting each year.
A worked example
Starting figures
- Grant value
- $120,000
- Vesting years
- 4
- Cliff (months)
- 12
- Share price growth
- 15%
What it returns
- Vesting per year
- $30,000
- Total if growth holds
- $172,271
- Year 1
- $34,500
- Year 2
- $39,675
- Year 3
- $45,626
- Year 4
- $52,470
- Cliff
- 12 months
How to read the results
With the defaults above, vesting per year works out at $30,000.