Want 9% More Pay? Hit the Gym

We all know that some measures tied to pay are completely out of the control for even the hardest working analysts. Even in our somewhat meritocratic workplaces, its been observed that taller people get paid more. I also understand that there is definitely a “beauty premium” on both Main and Wall Street. I mean, who wouldn't pay a little extra to work with a tall and handsome lad like myself?

The story line has always been that endowed genetics enhances your paycheck, but is there anything that the unfortunate can do to boost their pay?

Just talk to Dr. Kosteas from Cleveland State University, who claims there actually is something we can all start doing today to see extra pennies in our paychecks tomorrow. According to Kosteas, exercising regularly can boost your pay anywhere from 6 to 9%, which should be more than enough to offset the cost of a decent gym membership.

Apparently it's not that you have to be fit or muscular by any means, since Kosteas controlled for all types of Body Mass Indexes (BMI) in his research. Kosteas central claim is that by de-stressing, increasing focus and productivity, a regular gym goer gains just enough of an edge to break into the top bucket come bonus season. Sounds easy enough, right? Not exactly.

At least for me, the question remains; how in the world do you exercise regularly when working 80-100 hours a week?

 

it's also something to talk about, someone who goes to the gym MAY look down upon those who don't, people who don't rarely look down upon those who do go to the gym. furthermore, if you go to gym / exercise with seniors, or just peers for that matter, you're likely to bond to a greater degree than those that dont. (this is by no means axiomatic)

"After you work on Wall Street it’s a choice, would you rather work at McDonalds or on the sell-side? I would choose McDonalds over the sell-side.” - David Tepper
 

I don't know if an observational study cuts it here...it could just be that gym-goers are more competitive/aggressive/driven than others. I think to make this claim, you'd need to assign one group an exercise regimen, then measure their bonuses/pay increases versus a control group.

The attractiveness issue makes sense though...the "halo effect" has been studied for years.

 

If a bodybuilder has a BMI >30 but has 10kg of fat and an other person has a BMI >30 but has 50kg of fat, what's the point of checking the BMI of the tested population?

Since the body mass index doesn't take into account the amount of muscle or fat a person has, I'm pretty sure that it is biased to add the BMI into consideration.

Nonetheless, even if I always tend to take these studies with apprehension, a 9% increase is not negligible!

 

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