6 Free Financial Modeling Lessons...and More.

Enter your e-mail below to get our new Free Modeling Tutorials ($200+ Value).

< previous | next >

Just finished my first year of banking....
 

techjunkie's picture
IB
 
Points)
 on 7/7/12 at 1:46pm

And I actually have less than $2000 in my bank account. My rent isn't that expensive (~$1600) and I have no loans or anything that I've been paying off. I just found it hard to save and easily spend a good couple hundred every time I go out.

Is this normal? Keep in mind I haven't gotten my bonus yet, but I'm freaking out a bit that I essentially have the same amount of cash in my account as my friends who didn't even go to college.

Tags:
Mubala67's picture

u should start keeping a

 
Points)
 on 7/7/12 at 2:42pm

u should start keeping a budget and tracking how much u spend per week...i had 25k saved before bonus after my first year...partly b/c i was in the office all the time

wadtk's picture

Sorry, but this is extremely

AM
 
Points)
 on 7/7/12 at 3:19pm

Sorry, but this is extremely poor money management. Did you contribute to your 401k? Open a Roth IRA?

CHItizen's picture

How do you spend a couple

(Gorilla, 557
 
Points)
 on 7/7/12 at 4:07pm

How do you spend a couple hundred when you go out? Maybe look into getting cheaper drinks or pre-gaming instead of getting bottle service?

Banker88's picture

Yeah that is really poor

IB
(King Kong, 1,650
 
Points)
 on 7/7/12 at 4:23pm

Yeah that is really poor money management dude. I also had $20k+ saved pre-bonus after first year.
$70k at 35% tax rate leaves you $45k.
After rent of $1500 = $27k
After $500 per week on food / drinks / miscellaneous = $21k

If you're buying bottle service or buying girls drinks repeatedly every weekend then you're doing it wrong.

seabird's picture

http://www.wallstreetoasis.co

PE
(King Kong, 1,494
 
Points)
 on 7/7/12 at 4:34pm

http://www.wallstreetoasis.com/forums/how-much-do-...

Looks like averages are 20-60k depending on bonus and spending.

“...all truth passes through three stages. First, it is ridiculed. Second, it is violently opposed. Third, it is accepted as being self-evident.”

- Schopenhauer

CHItizen's picture

Banker88: Yeah that is really

(Gorilla, 557
 
Points)
 on 7/7/12 at 4:54pm
Banker88:

Yeah that is really poor money management dude. I also had $20k+ saved pre-bonus after first year.
$70k at 35% tax rate leaves you $45k.
After rent of $1500 = $27k
After $500 per week on food / drinks / miscellaneous = $21k

If you're buying bottle service or buying girls drinks repeatedly every weekend then you're doing it wrong.

How is your tax rate 35%?

Flake's picture

CHItizen: Banker88: Yeah

ER
(Neanderthal, 3,599
 
Points)
 on 7/7/12 at 5:04pm
CHItizen:
Banker88:

Yeah that is really poor money management dude. I also had $20k+ saved pre-bonus after first year.
$70k at 35% tax rate leaves you $45k.
After rent of $1500 = $27k
After $500 per week on food / drinks / miscellaneous = $21k

If you're buying bottle service or buying girls drinks repeatedly every weekend then you're doing it wrong.

How is your tax rate 35%?

Also, do you mean $500 a month?

Under my tutelage, you will grow from boys to men. From men into gladiators. And from gladiators into SWANSONS.

Banker88's picture

I estimated 35% tax rate,

IB
(King Kong, 1,650
 
Points)
 on 7/7/12 at 5:07pm

I estimated 35% tax rate, might be more like 38%. No I mean $500 a week but that was being generous just to make a point. I don't spend that much per week on average.

Flake's picture

Banker88: I estimated 35% tax

ER
(Neanderthal, 3,599
 
Points)
 on 7/7/12 at 5:18pm
Banker88:

I estimated 35% tax rate, might be more like 38%. No I mean $500 a week but that was being generous just to make a point. I don't spend that much per week on average.

$500 a week is 26k a year.

Under my tutelage, you will grow from boys to men. From men into gladiators. And from gladiators into SWANSONS.

Banker88's picture

Flake: Banker88: I

IB
(King Kong, 1,650
 
Points)
 on 7/7/12 at 5:26pm
Flake:
Banker88:

I estimated 35% tax rate, might be more like 38%. No I mean $500 a week but that was being generous just to make a point. I don't spend that much per week on average.

$500 a week is 26k a year.

Haha my bad guess I calced $500 a month. Whatever OP still sucks at saving money haha.

Flake's picture

Banker88: Flake: Banker88

ER
(Neanderthal, 3,599
 
Points)
 on 7/7/12 at 5:50pm
Banker88:
Flake:
Banker88:

I estimated 35% tax rate, might be more like 38%. No I mean $500 a week but that was being generous just to make a point. I don't spend that much per week on average.

$500 a week is 26k a year.

Haha my bad guess I calced $500 a month. Whatever OP still sucks at saving money haha.

Kind of wish your math was right. I am awful at budgeting and I saved jack shit over the past 2 years.

Under my tutelage, you will grow from boys to men. From men into gladiators. And from gladiators into SWANSONS.

Rupert Pupkin's picture

If you're spending $200 every

IB
 
Points)
 on 7/7/12 at 7:22pm

If you're spending $200 every time you go out you're just being an idiot. Stop trying to pretend you make more money than you do. If not, you're going to be in this situation no matter how much you make. As others have said, pregame before you go out and stop getting bottle service- that's for douchebags. You should be able to save plenty of money as an analyst since you rarely have time to go out all night, and you really should consider making it a priority to put away 6 months salary just in case things head south.

CHItizen's picture

Banker88: I estimated 35% tax

(Gorilla, 557
 
Points)
 on 7/7/12 at 8:42pm
Banker88:

I estimated 35% tax rate, might be more like 38%. No I mean $500 a week but that was being generous just to make a point. I don't spend that much per week on average.

Doesn't $70k in salary fall into the 25% tax bracket, so your tax rate should be less than that?

Ukon's picture

Try to save $1K per month.

PE
(Orangutan, 370
 
Points)
 on 7/7/12 at 9:03pm

Try to save $1K per month. Saving $2K per month is very challenging.

Your post-tax income on a monthly basis will be 70000 / 12 * (1-35%) = 3800. Set aside 1500 for rental then you get 2300. To spend 300 only for everything else including 401K, utility, dry clean, outing, new clothes and other misc items is mission impossible for most ppl so I actually would not recommend it for everyone. However, if you put in another 1000, that is sth quite doable and then you can save the other 1000 left every month.

HarvardOrBust's picture

CHItizen: Banker88: I

PE
 
Points)
 on 7/7/12 at 9:38pm
CHItizen:
Banker88:

I estimated 35% tax rate, might be more like 38%. No I mean $500 a week but that was being generous just to make a point. I don't spend that much per week on average.

Doesn't $70k in salary fall into the 25% tax bracket, so your tax rate should be less than that?

+ state income tax, NYC tax, medicare, medicaid.... shit adds up

-.-'s picture

I also wish $500/week

IB
 
Points)
 on 7/7/12 at 11:04pm
midnight_oil's picture

Banker88: Yeah that is really

IB
 
Points)
 on 7/7/12 at 11:30pm
midnight_oil's picture

Btw, pregaming before going

IB
 
Points)
 on 7/7/12 at 11:33pm
newfirstyear's picture

That is terrible. My first

ER
 
Points)
 on 7/7/12 at 11:35pm
Banker88's picture

newfirstyear: That is

IB
(King Kong, 1,650
 
Points)
 on 7/8/12 at 2:00am
NewGuy's picture

You guys saving so much can't

HF
 
Points)
 on 7/8/12 at 9:00am
diverse_kanga's picture

3.9k per month - no rent

 
Points)
 on 7/8/12 at 10:06am
SHORTmyCDO's picture

Do none of you guys have

IB
(Gorilla, 739
 
Points)
 on 7/8/12 at 10:58am
Flake's picture

NewGuy: You guys saving so

ER
(Neanderthal, 3,599
 
Points)
 on 7/8/12 at 11:08am

Under my tutelage, you will grow from boys to men. From men into gladiators. And from gladiators into SWANSONS.

newfirstyear's picture

NewGuy: You guys saving so

ER
 
Points)
 on 7/8/12 at 4:09pm
flashmind's picture

NewGuy: You guys saving so

AM
(Monkey, 33
 
Points)
 on 7/8/12 at 6:43pm
sick_willy's picture

Try having a gf. Destroys

PE
 
Points)
 on 7/8/12 at 11:55pm

---------------------------
BossMode

olafenizer's picture

NewGuy: You guys saving so

IB
(King Kong, 1,005
 
Points)
 on 7/9/12 at 12:54am

See my other WSO blog posts

TNA's picture

You have no debt, $2K in the

O
(Human, 13,539
 
Points)
 on 7/9/12 at 1:46am

MSF Website
MACC Website
MSF Twitter

bearflatten's picture

just fyi - standard in the

 
Points)
 on 7/9/12 at 1:55am
PetEng's picture

Not that big a deal in my

O
(Gorilla, 747
 
Points)
 on 7/9/12 at 2:38am
optimus_prime's picture

I didn't save a dime of my

 
Points)
 on 7/9/12 at 6:40am

6 Free Financial Modeling Lessons...Straight to Your Inbox.

Confirm your name and e-mail below to get our best tips

Monkey Stats
Account information
We respect your Name and E-mail privacy. By joining you accept our terms of service.