FAQ 231: Vesting--Amended vesting schedule coding


The client had an immediate 100% vesting schedule and has now changed it to a 2/20 schedule. How do I code that in ASC.


ASC will never reduce someone's vesting percent from the prior period's vesting percent, therefore, when you change the vesting schedule to 2/20 anyone that was 100% last period will stay 100% regardless of their service. Also, when an employee is a status "A", we will not recalculate the Vesting Start date or the 100% vesting date.