Vesting Cliff

Visualize the golden handcuffs.

A vesting cliff means you earn zero equity until you cross the cliff date, then vested shares = total shares times (months elapsed / total months), capped at your full grant. Before the cliff you own nothing. On a standard 10,000-share, 4-year grant with a 1-year cliff you hold 0 shares at month 11 and 2,500 shares the day the cliff hits, then earn the rest month by month. This calculator plots that schedule so you can read off exactly how many shares you own on any date.

How it's calculated

Three cases, one grant:

  • Before the cliff = 0 shares
  • On the cliff = total shares x (cliff months / total months)
  • After the cliff = total shares x (months elapsed / total months)

Months elapsed is the whole months from your start date to the date you check. The result is capped at your total grant, so it never vests past 100%.

Worked examples

A 10,000-share grant, 48-month schedule, 12-month cliff:

Months elapsed Shares vested % vested
6 0 0%
11 0 0%
12 2,500 25%
24 5,000 50%
36 7,500 75%
48 10,000 100%

How it works

Enter your Total Shares granted.

Set your Start Date (when you joined).

Define the Cliff Duration (typically 12 months).

Set the Vesting Schedule (typically 48 months).

The chart shows exactly how many shares you own at any point in time.


Why it matters

Equity is a promise, not a paycheck. The cliff is the trap. If you leave at month 11, you get zero shares. If you stay one day longer, you get 25%. This tool shows you the exact timeline so you can plan your exit with clarity.

Questions people ask

What happens to my shares if I leave before the cliff?

You get nothing. Before the cliff date, vested shares are zero, so leaving at month 11 of a 12-month cliff means you walk away with no equity. The cliff exists to make sure people stay at least a year before any ownership sticks.

How much vests on the cliff date?

The straight-line fraction of the schedule that has passed. On a standard 4-year (48-month) grant with a 1-year (12-month) cliff, 12 of 48 months have elapsed, so 25% of your shares vest in one jump the day the cliff hits. From then on the rest accrues month by month.

How do I calculate how many shares I own on a given date?

Count the whole months from your vesting start date to the date you care about. If that count is below the cliff, you own zero. Otherwise vested shares = total shares x (months elapsed / total months), capped at the full grant.