[tex]y[/tex] has units of m, [tex]v_0[/tex] has units of m/s, [tex]t[/tex] has units of s, and [tex]a[/tex] has units of m/s^2. The constant 1/2 does not have units.
Hence, the first term on the right has units of: m/s *s = m
While the second term on the right has units of: m/s^2 * s * s = m
Thus, the equation is dimensionally correct.