2007 Associate Bonuses

any light on the stub numbers..

I have no new intel to report for '07, but to give folks some context I believe that for 2006, targeted all-in comp for associates was $325k at GS and $350k at MS.

I am a stub. Honestly, I really hope to get around 50 for mystub. That will place me with 210 total comp using fuzzy math. 95 salary, 65 sign-on. I work in DCM though. Anyone else - thoughts?

I am a stub. Honestly, I really hope to get around 50 for mystub. That will place me with 210 total comp using fuzzy math. 95 salary, 65 sign-on. I work in DCM though. Anyone else - thoughts?

A former third year associate (VP in January) that I had dinner with this weekend mentioned GS was paying over 600 for his class. Ridiculous.

600? Geez.

"We are lawyers! We sue people! Occasionally, we get aggressive and garnish wages, but WE DO NOT ABDUCT!" -Boston Legal-

Where did you come up with 600?

That seems pretty high, but at least conceivable.

According to my info, 2nd-year associates at GS in '06 had an all-in target of $450k.

Yes, this was for the '04 class.

I am assuming the $600k figure is not all cash though, given that ~15% of the 2nd-year associate bonus was supposedly paid out in stock.

Is the stock vested immediately? I heard Citi was paying out a good portion (i.e. 30% plus) in restricted stock. Ouch.

Unclear how the vesting schedule is structured, though I would have to assume it vests immediately at the associate level.

Dealmaker has an article up with new comp projections.

http://www.dealmakerdaily.com/magazine/article/13358.html

If you don't have a login, the info for associates is as follows: Assoc. 1 (class of '06) Low: $210K Mid: $335K High: $375K

Assoc. 2 (class of '05) Low: $250K Mid: $400K High: $450K

Assoc. 3 (class of '04) Low: $300K Mid: $500K High: $575K

Note that they explicitly say that these estimates do not include Goldman (since they would skew the results too much)

wait a sec whats going on, people have always been saying that GS pay was always lower at the analyst/associate level since people are willing to work there for less just because of the name/exit opps etc.

Or did this only apply in the past or to analysts?

They have traditionally paid below the rest of the street, but this year has been an exceptionally good one for GS (particularly relative to other BBs).

From the link compensatiated posted:

"And then there's Goldman, which this year is in a category all by itself. To the rest of Wall Street's dismay, Goldman's numbers are off the charts, which is why we literally left them off Dealmaker's chart."

Seems like the 600 rumor I heard could be true.

Enough said...

600k...christ

I know UBS won't be told until January. Anyone know when Lehman, Citi, Merrill, Morgan, etc. give out bonus numbers?

Dealmaker's ranges are directionally correct, and yes, top of the '04 range for Goldman was a 6-handle. The spread across the Street for ranges will be wider than usual.

Bit of advice? Everyone always focuses on the top of the range, even bankers who've been doing this for years. It's the wrong way to look at it. Look at the medians. Some firms play it straight with the bell curve. Others game it with unbalanced and/or smaller tails, which allows them to claim that they hit Street. That's why medians are more meaningful.

Good point, but historically Goldman has a good reputation for being keeping the percentages in line. Unlike say, Wachovia (who in '05 paid one first year analyst in the class top street bonus).

I think there will always be an inherent skew in self-reported numbers, given that low performers are generally less enthusiastic about sharing this information.

No one brags about being bottom quartile.

Any other data out there?

Any other data out there?

Mine (BB) was 40K signing, and 10K relocation.

I guess it's a combination of all the other banks getting their asses kicked and Goldman doing better.

"We are lawyers! We sue people! Occasionally, we get aggressive and garnish wages, but WE DO NOT ABDUCT!" -Boston Legal-

I recently left a DCM position after being promoted to associate, which means I would have been in line for a stub bonus of 50k or so. I still keep in touch with a few people on the team, and other direct promotes were recently told that they would be lucky to get anything at all. Apparently this year's bonus pool was down by almost half for the group, and the MD felt that the 3rd year promotes had been paid very hansomely in June, so they are likely to get a goose egg, or close to it. I can't vouch for other groups across the street, but it should be ugly for anyone that was part of a group caught up in the credit crunch.

As a Class of 04 associate in HK for a bulge bracket firm - is US$400k all-in towards bottom end of the market? It seems like it compared to the table above at

http://www.dealmakerdaily.com/magazine/article/13358.html

Does anyone have any idea what the standard base bumps are for each year? Or if there are standard base bumps for each year? I know the first year associate base is $95k at BB but wondering if anyone know anything about 2nd or 3rd year?

Thanks!

Just saw this clip from a CNBC article:

"Separately, Merrill Lynch (NYSE:MER - News) began handing out bonuses last week, which are sharply lower than they were last year.

Some people have said the bonuses may be between 60 percent and 80 percent lower than they were last year in certain divisions."

Ladyjam - I think it's important to not that the 60-80% figure relates to bonuses in "certain divisions." Bonuses across the board shouldn't be hit like that, especially not at lower levels. Frankly, I'd be surprised if IBD bonuses drop more than 10-15% percent at the analyst level, but then again they don't hit until June / July so who really knows.

As a former MS employee, you have to realize that quite literally everyone is a bullshitter, and a quite good one at that. Asking a banker what their real salary is much akin to asking how many women a man has bedded. Dividing by 2 is an understatement.

I worked there 2 years ago. Analyst. About 110k all in.

Analysts ~100K (65 base + 25-40 bonus). Associates 150k-200k. VP's 170-300k. ED's 300-500K. MD's 500-1M+.

Some divisions pay more, some a bit less.

Hearing these numbers you guys are pulling out of your ass is amusing. 400k for an Associate? Guys, guys... come on. 600k? Try 200-300 (which is pretty good for someone under 30!).

bumping this from earlier as more banks have issued numbers? Anyone have more data?

You must have been at MS a lot longer than 2 years ago. Total comp for first year associates averaged over $300k in 2006, I can personally confirm.

Heard that Class of '06 Associates at JPM ranged from $45 to low $200's. Numbers were all over the place...

"Heard that Class of '06 Associates at JPM ranged from $45 to low $200's. Numbers were all over the place..."

similar to last yr.

wow, so nobody is willing to post their bonus numbers, except some dealmaker forecast? What are you girly bankers so afraid of?

what was your bonus drgoogle?

I don't think college kids get bonuses.

Oh SNAP!

I'm shooting for 10k. Top bucket right there. Munch on that.