NTTGPR: Stock Options

[LadyNymeria]

Does anyone here know how Stock Options work? I received some from my company and could use some help.

Using a basic example (not my real numbers), here's my question:

The Company grants you an option for 500 shares of the Company's common stock at a 20.00 strike price. These options vest over the next 4 years with 25% on the first anniversary and 1/36 each month thereafter for the next 36 months.

In the above example, if I chose to exercise the options when they vest, do I have to pay 20 per share for these options?

I've been trying to Google, but I was hoping someone here might know the answer until I have a chance to talk to my boss.

Thanks!

[LadyNymeria]

So I guess I need to find out if they were gifted to me as part of my annual bonus (and the strike price is just the base value for if I were to sell them in the future) or if I need to pay the strike price to buy the shares if I ever exercise them in the future.

If I ever have to pay for these things, it takes any benefit out of them - I can't afford them at the real strike price.

ETA: Sorry, forgot to include a thank you!