Vested Benefit
/ˈvɛstɪd ˈbɛnɪfɪt/
Definitions
- (n.) A right to a benefit or asset that is secured and cannot be revoked, typically upon meeting certain conditions like retirement or length of service.
Employees are entitled to their vested benefits after completing five years of service.
Forms
- vested benefit
- vested benefits
Related terms
See also
Commentary
Vested benefits are distinguished from contingent or non-vested benefits by their irrevocability upon meeting the relevant criteria, important in drafting employee benefit plans.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.