SESKStuff Everyone Should Know
SESK: Stuff Everyone Should Know · sesk.info/founder-one-year-cliff

What usually happens at a one-year cliff on four-year vesting?

Nothing vests before year one, then usually 25 percent vests.

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  1. All shares vest on day one
  2. Half vests after six months
  3. Zero vests before year one, then 25 percent ✔

Why: A common startup schedule is four years with a one-year cliff. Leaving before the anniversary usually means nothing vests, while reaching it usually vests one quarter.

Huh, didn't know that: In YC's example, after the cliff 1/48th of the shares vests every month.

The dad joke
The vesting schedule brought climbing shoes for its cliff.
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References

Answer: Zero vests before year one, then 25 percent. A common startup schedule is four years with a one-year cliff. Leaving before the anniversary usually means nothing vests, while reaching it usually vests one quarter.

  1. Understanding Startup Stock Options www.ycombinator.com/blog/understanding-startup-stock-options-berbix
    A typical vesting schedule is four years with a one-year cliff.
    Checked 2026-10-11.

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