“What does "vesting" mean in my 401(k)?”

Vesting is the schedule that determines when your employer's contributions become permanently yours.

Your own money — the amount taken from your paycheck — is always fully yours immediately. Vesting only ever applies to what the *employer* adds: matching contributions, profit-sharing, and the like.

Schedules come in a few shapes. "Immediate" means everything is yours right away. "Cliff" means you get nothing until a set date (say, three years), then everything at once. "Graded" means it phases in — 20% a year for five years is common.

Why it matters: if you're weighing a job change, your vesting status is part of the math. It's listed in your plan portal, usually labeled "vested balance" next to your total balance. If those two numbers are different, the gap is what's still on the schedule.