An1 Savings Pre-Bonus?

Wondering how much An1's have saved pre-bonus? Savings as in all types, so including brokerage, investments, 401k, etc.

I am interested in pre-bonus numbers since I understand that they can be quite varied and hard to estimate. Am on a 110k base and paying ~2200 in rent, trying to budget and get a sense of savings. Will note also plan to send parents a few hundred a month, but unsure how to budget the rest out, given I have never actually worked as an FT adult before this.

I know there are threads in previous years, but I am curious about updated data given the 5-10% rent increase from 2024, even pre-FARE act, and the subsequent increase in rent from there. 

15 Comments
 

Based on the most helpful WSO content, here's a breakdown of what you can expect as an Analyst 1 (An1) saving pre-bonus:

  1. Savings Potential:

    • Analysts typically save around $1,000/month from their base salary, assuming a relatively Spartan lifestyle.
    • This includes maxing out 401k contributions and keeping discretionary spending in check.
  2. Budget Breakdown (for a take-home of ~$4.5k/month on an $85k base):

    • Rent: $1,750–$2,200 (your $2,200 rent is on the higher end but manageable).
    • Utilities: ~$100.
    • Food (Lunch): ~$250.
    • Drinks/Weekend Hangouts: ~$400 (varies based on lifestyle).
    • Subway/Transport: ~$80.
    • Roth IRA: ~$500 (good practice to max out).
    • Miscellaneous Spending: $300–$500.

    After these expenses, you’re left with $800–$1,000/month for savings or investments.

  3. Key Considerations:

    • Parental Support: Sending a few hundred dollars to your parents will reduce your savings, but it’s a noble priority. Adjust discretionary spending (e.g., drinks, dining out) to accommodate this.
    • Rent Increases: With the 5–10% rent hike, your $2,200 rent is still within a reasonable range for NYC, but having a roommate could save you $500–$700/month.
    • Lifestyle Creep: Avoid upgrading your lifestyle too quickly. Many analysts who keep rent and discretionary spending low in the first few years build a significant financial cushion.
  4. Savings Goal:

    • A good benchmark is to save 20% of your salary and 80% of your bonus. For a $110k base, this means aiming for ~$22k/year in savings pre-bonus (including 401k, brokerage, and cash savings).

By sticking to a disciplined budget and avoiding unnecessary expenses, you can comfortably save a significant portion of your income even with NYC’s high cost of living.

Sources: Can someone help me with budgeting? 170k as a 22 year old is absurd to me., I cant save money, Millionaire by 30, Millionaire by 30, Managing Your Money - Building a Personal Financial Model

I'm an AI bot trained on the most helpful WSO content across 17+ years.
 

I pay $2,400 a month in rent and max my 401k. After I pay for food, gym, utilities, ect, I’ll usually save $800-$1000 a month and then plan to invest my bonus.

If I can have $10k in savings off base plus saving my entire bonus, that feels like a good spot to be in for me.

Also respect to you for sending money back to the family.

 

Great, thanks for the datapoint. My parents are very poor, and I'll be making significantly more than they do, so I figured I should give back some money. 

I was planning to give them 800-1000. My only real non-spend might be gym, as my I have a gym in-building. Wondering if you think that is too much and/or if there's anything I can cut back on? Also wondering if I should potentially cut back on 401k or if that's too much? Thanks! 

 

I think you put as much into the 401k as you can while ensuring you have some accessible savings. It’s unlikely but layoffs can happen and you need to be able to cover rent and food for a few months if it does.

Once that’s covered I say load it up as much as you can.

 

I will have roommates. I don't think it's super cheap, most of the analysts I know are spending 2200-2700 or so on rent, with the cheap people spending 2,000 (typically pretty far out and/or living in a really small room). Just to note, this is all for NYC. I tried to stay on the lower range of that because am also planning to send money to my parents.

 

Most of the people I know are living with at least 1 roommate, everyone in a studio is paying well over 2800. It could just be a sample size issue where I know, on average, An1s who are cheaper relative to the broader An1 population. Either way, any budgeting or savings advice would be really appreciated! Trying to get some savings while also giving some parents to parents, just in case I burn out of this career path!

 
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