Adults over age 21 will be able to possess up to 1 ounce (28 grams) of marijuana, two mature marijuana plants and four immature plants.
The new law went into effect Sunday and does not set up a system to tax or regulate the production of marijuana. With no provisions in the law for pot shops, users must grow it themselves or buy it from illicit dealers.
Smoking marijuana is barred in public spaces, and renters need permission from their landlords to use or grow at home.
Vermont was the first state to legalize recreational marijuana through a legislative vote. It decriminalized marijuana in 2013 and legalized medical marijuana in 2004.