Bonus

This is the first year in my career or I will not have received my full annual cash bonus on schedule. I’ve been told that I will receive a true up mid year.

I’m pissed. Boss was trying to say that there’s plenty of other shops where people got goose eggs this year.. what did everybody receive as a percentage of target this year??

26 Comments
 

Based on the most helpful WSO content, bonus payouts can vary significantly depending on the firm, role, and performance metrics. For example:

  1. Equity Analysts: Bonuses are often tied to multi-year returns, with a target payout of 50% of base salary, capped at 100%. Exceptional 1-year performance might trigger overrides, but group and department performance often weigh more than individual contributions.

  2. Hedge Funds: Bonus ranges can be wide, with buckets like $300k, $300-500k, $500-750k, and so on. Crossing the $1M mark typically requires formulaic contributions and running strategies developed independently.

  3. Investment Banking Analysts: Bonuses depend on firm performance and individual contributions. For example, 1st-year analysts might see bonuses around $166k total compensation, while 3rd+ year analysts average $187k.

Your situation of receiving a "true-up" mid-year is frustrating, but it's not uncommon for firms to adjust payouts based on cash flow or performance. While your boss's comment about "goose eggs" at other shops might not be comforting, it reflects the variability in bonus structures across the industry.

Sources: 2020 bonuses, Big Tech vs Wall Street Total Comp, Reflections from year 4 as an equity analyst, PERE comp table, 2017 Commercial/Corporate Banking Bonuses

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

Is your bonus pitched to you as truly discretionary / variable or something you can depend on? i've seen firms do it both ways. if in the first category...if one is afforded the upside of outperforming targets in good years...goose eggs come with the territory but still sucks. if in the second category...my condolences and i really feel for you.

 

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