ESOP Eligibility
Joining an ESOP company can be such an exciting time for new employees. Yet the complexity of the ESOP itself can cause some challenges for new employees trying to understand the benefits and how they fit in. How do I get to participate? How much do I need to work? When will I enter into the ESOP plan? These are all common questions—and this worksheet is designed to help explain the eligibility requirements to employee-owners.
Customize the worksheet with your company’s plan details, including:
- Your company name
- ESOP entry date(s)
- Hours, service, and age requirement (if applicable)
- Update the chart based on your entry dates
*The example chart reflects a company with the standard requirements of 1000 hours, 1 year of service, age 21 and 1 entry date of January 1st.
The table uses the standard eligibility requirements and should be updated if your company has different requirements. Available in Spanish here.
Ideas for using this month’s resource
- Incorporate into the onboarding process so new employee-owners have a tangible view of when they’ll enter the ESOP
- Include in ESOP 101 presentations
Related resources
- The Recruitment and Retention Toolkit is jam-packed with ideas on onboarding programs and other retention-related activities.
- The Introduction to ESOPs book explains the rules, uses, benefits, and other aspects of an ESOP.