Okay so we all know what the salary is for a first year Analyst (60K Base +10K signing +60-120% Bonus). Great stuff, but after NYC taxes or U.K taxes what was left on your bi-weekly check?
Also what was your bonus after taxes?
The reason I ask, is to get a realistic picture of what one can afford in NYC/London thanks.
Please only people in the industry answer this question thanks.
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~1700/ paycheck........maybe a little more, may be a little less. But i would say most are in that range.
Consider circa 40% tax in NYC and London.
Base, signing and bonus are all taxed at ordinary income.
Take home pay will also depend on your own pension contribution.
London salary for first year analyst- base is circa £35-£38k per annum. With $/£ ratio now, salary is higher in London.
Search past threads. This topic has been discussed before with actally nmbers given.
UK income tax brackets are as follows:
10% for £0 - £2,150 22% for £2,151 - £33,300 40% for £33,301+
These levels increase by a few % every year. Let me know if you come across US numbers for income tax and capital gains tax too...
Thanks for posting that EuroMonkey. Couldn't remember the exact brackects off hand.
US Capital gains tax currently at 15% Federal and some/most states have an additional circa 3%.
This tax law runs out 2009, thoughts range that cap gain tax may increase back to 20% Fed where it was before Repblicans changed it downwards to possibly taxed the same as ordinary income.
Cheers pepper2... so CGT is a big difference between UK and US.
In UK, cap gains are added to taxable income (hence 40%). I think there's an allowance of a few thousand somewhere in there but can't remember the details.
I bring home around USD $1650 per paycheck.
I'm a first-year analyst, I contribute $100 per pay period to my 401(k) before taxes, I have the best and most expensive health insurance, an extra fillip of life insurance, and a $40/month membership to the onsite gym. All but the extra life insurance and gym membership are pre-tax.
how much taxes do first year analysts pay...like for a say 60k salary...what % is paid
A little less than 40% is what you pay.
Check out paycheckcity.com . Notice your first year you will make around $30,000 + $10,000 relocation (July 2007-Dec 31, 2007). They have a good calculator that works it out for you with NYC and Manhattan tax. I think it works out to around 26% in taxes on around $40k. Remember this does not include pre tax deductions for 401k, etc. Remember student loan debt is deductable from income up to $2500 a year and higher education expenses are deductable up to $2500 a year also if you pay your own tuition. This can lower your taxable income even more in 2007.
Try building a little model to figure out how you can maximize your 401k contributions taking into account rent, utilities, and other expenses.
For example: I know my total income will be $41k pre tax so if I contribute 4% to my 401k I would save myself $700 in taxes. There is a way to maximize your 401k contribution so you pay basically no taxes (max 401k contribution is $15k- but remember you still need to live off your salary so you might not be able to contribute almost 45% or your salary to 401k in the first year).
I just wanted to throw this out there.
Full time guys:
Do you do your own taxes or do you hire a someone?
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