I did the math and I need to make minimum of $13M in my career to support my future family, lifestyle, etc. This comes out to $371k per year.
Ideally I want to earn $20m+, though.
I am 23 and want a solid 37-42 year career (retiring between 60-65.)
I am currently in engineering consulting (5% owner of a business with a valuation of $5m) at 23. (I started as second employee of the company at 15 yo and grew it with the now CEO and COO.)
^no nepo, based on teaching myself to code early
There is a potential to exit but in 5 years the company will most likely sell for no more than $10m at its current growth rate, meaning I'll get 500k max. I plan on pivoting away from this company because it's a service business and isn't growing fast enough for my ambitions. Next role either VC analyst or FAANG or series-C or later startup engineering role pre-mba.
I am also going to Darden in a couple of years (FYS admit.) Average career earnings assume I follow standard path is $8.2m according to payscale data. (I am reapplying for H/S and other M7s in a couple of years.)
So how do I get to the very high end of the career earnings distribution?
I'm thinking the following to get to minimum $13m with the potential of much higher earnings late career:
Engineering consulting -> 1 more year
VC Analyst / FAANG / Series-C or later startup engineering role -> 1 year
H/S MBA (with Darden as backup) -> 2 years
IB to VP level -> 7 years
Transition to PE Analyst, stay in PE to MD level -> 15 years
Semi-retire, take board seats at portfolio companies -> 4 years
Enter fray again: C-suite at one of the portfolio companies I'm on the board for -> 7-12 years
What do we think of this path in terms of total career earnings? Think this is a logical path and think it could easily yield $371k per year+ on average?
Let me know.
Your title is super misleading... you want to earn $400k+? Doable in a lot of careers. If you have MBA acceptance, just go to MBA as soon as you can after 2-3 years work experience, no need to do FAANG if you'll have enough work experience already.
Also MBA -> IB -> VP -> PE analyst is not a possible path, period. You can stay in IB and make absolute bank (far more than your yearly target) but never see your family/kids. Or leave after 2-3 years for corp dev, MM/LMM PE (not getting into a large PE firm from banking ASO) and still make a good bit of money
I would work on a 5 year plan rather than a 50 year plan. Getting into banking is the logical start.
Its more that the clock starts ticking at 25 and I have to make an average of $371k to meet the 13m threshold over the course of my career. I assume it will take ~5 years to reach $371k comp.
You think I should go to Darden ASAP instead of try for H/S again?
For IB you think I'll be fine going to bschool in 1 year (don't think it will be a problem to recruit IB without experience in some kind of finance role pre-MBA?)
That's why I'm thinking I hit up my VC mentors and get a VC analyst position prior to bschool so I can place IB easier.
Whatever makes me the most money is what I'm going to do though.
Fine to not have finance experience, engineering -> finance makes plenty of sense.
H/S are VERY unlikely. Darden is top 15, you will have plenty of IB optionality from there. Sooner than later is better since IB is basically a clean reset button, so as long as you have the minimum 2-3 years of experience you should go as soon as you can.
What I don’t understand is why go into IB?
You’re already in one of the most exciting and cutting edge fields and have amazing and desire able skills in tech, AND have a life and free time. Why go into a space that you have 0 relevant skills or background in, and that will make you absolutely miserable?
>I did the math and I need to make minimum of $13M in my career to support my future family, lifestyle, etc.
bruh the cringe of it all
buddy relax and take it easy. you're doing better than most. set goals 2-3 years ahead and then see what happens/reevaluate every year. there's no possible way to plan 50 years rn
Iste molestiae consequatur est quam officia ut. Totam sit est voluptatem doloribus iusto enim. In aliquam ullam sunt doloribus. Veritatis veniam illo expedita sapiente eum. Maxime maxime placeat et repellendus. Consequuntur non alias et.
Beatae sed tenetur sit quibusdam laudantium aut repellendus. Aut vero aperiam qui. Molestiae quo iste culpa dolor fugiat et dicta. Repellendus voluptatum quia quibusdam molestias libero aperiam.
Delectus accusantium nisi sit minus rerum natus in est. Vitae voluptates eum et aspernatur culpa accusamus unde. Ut ut deleniti amet minus nemo quidem molestiae voluptates. Neque laborum quia blanditiis. Est blanditiis architecto quia vitae mollitia voluptatem.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Voluptas id quas praesentium. Optio totam at minima vel porro sed qui. Sed quis nihil eos quibusdam.