BB Analyst Signing Bonuses

nycIBD's picture
Rank: Gorilla | 512

Are these typically made available upon signing (as the name would suggest) or after your start date? I recently signed on for a bb ibd analyst gig but the offer letter says the signing bonus is paid within 30 days of the start date which is a bummer since that wont be until July/August 2011. Honestly, I would really like those funds for senior year discretionary spending (AC BABY), apartment hunt come spring, wardrobe makeover (nicer suits needed), and savings (gotta put that cash to work for me man). In short, 10k means a ton more to me now as a poor college student then it will come next year when I have a stable income.

Wanted to hear if this is the case at other BB's and whether they usually have any flexibility on this....I dont see why they would care/do it this way - isnt the purpose to help financially smooth over the transition itself?

Comments (57)

Nov 11, 2010

or whatever you guys experienced in past years signing on

Nov 11, 2010

Yeah that is typically how it works. And it will come in at 6000-6500 after tax so don't go too crazy planning how to spend it. After some new wardrobe items, security deposit and 1st months rent on an apartment it will be gone. And if you have to pay a broker it will be gone before you can even get a suit or two.

Nov 11, 2010

Same question.

Nov 11, 2010

My BB offer states the bonus will be payed before March 1st, 2011 at the latest. Bonus is 10k and base salary is 70k

Nov 11, 2010

I have heard most banks this year are doing it in first paycheck. I know my offer is 70k base plus 10k signing (which will be like 6k and in my first regular paycheck beginning of July). Hope this helps

Nov 11, 2010

Some promise to pay within 90 days of signing you.

Just got an email yesterday saying my check is "in the mail," although I'll believe that only when I have it in my hands.

Also, apparently, they are not withholding taxes on the amount. The memo they sent said that they will report the amount of my bonus incrementally on my paycheck once I start working. That way, I'll be paying the taxes over a number of weeks then instead of all at once now. HR is Brilliant.

Nov 11, 2010

This probably isn't going to add any value to this topic, but why do people sign offers and then do research? Unless you are offered a position on the spot and it's a "make the decision now" situation, you guys are only potentially hurting yourselves.

I realize that getting an offer is exciting, trust me, I spent a year unemployed before I found a PE gig that was a perfect fit, but I had them draw up the papers and email me the contract instead of accepting their offer over the beers we were drinking. WSO is a great resource, for those of you that have offers pending, come ask questions. If you need the money upfront then negotiate that. Let HR, or whoever, know that you are not in a position to front the money to make the move and that you would like to see if you can structure the payment for the sign-on bonus prior to your start date.

Maybe some others have differing opinions or more experience and can weigh in.

Regards

Nov 11, 2010
cphbravo96:

This probably isn't going to add any value to this topic, but why do people sign offers and then do research? Unless you are offered a position on the spot and it's a "make the decision now" situation, you guys are only potentially hurting yourselves.

I realize that getting an offer is exciting, trust me, I spent a year unemployed before I found a PE gig that was a perfect fit, but I had them draw up the papers and email me the contract instead of accepting their offer over the beers we were drinking. WSO is a great resource, for those of you that have offers pending, come ask questions. If you need the money upfront then negotiate that. Let HR, or whoever, know that you are not in a position to front the money to make the move and that you would like to see if you can structure the payment for the sign-on bonus prior to your start date.

Maybe some others have differing opinions or more experience and can weigh in.

Regards

LOL HR is not going to make an exception for us. We are 1/50 analysts out our BBs and there's plenty of other kids who will take the sign on after 30 days of joining.

I'm talking about liquid. Rich enough to have your own jet. Rich enough not to waste time. Fifty, a hundred million dollars, buddy. A player. Or nothing.

Nov 11, 2010
bulge4lyf:
cphbravo96:

This probably isn't going to add any value to this topic, but why do people sign offers and then do research? Unless you are offered a position on the spot and it's a "make the decision now" situation, you guys are only potentially hurting yourselves.

I realize that getting an offer is exciting, trust me, I spent a year unemployed before I found a PE gig that was a perfect fit, but I had them draw up the papers and email me the contract instead of accepting their offer over the beers we were drinking. WSO is a great resource, for those of you that have offers pending, come ask questions. If you need the money upfront then negotiate that. Let HR, or whoever, know that you are not in a position to front the money to make the move and that you would like to see if you can structure the payment for the sign-on bonus prior to your start date.

Maybe some others have differing opinions or more experience and can weigh in.

Regards

LOL HR is not going to make an exception for us. We are 1/50 analysts out our BBs and there's plenty of other kids who will take the sign on after 30 days of joining.

Truthfully I haven't been in a similar situation, so I am kind of talking about of my ass, but I doubt that HR would hire someone else so they don't have to pay out a predetermined amount of money 2 months early. You will be bound by the same contract, which likely states that you have to return the bonus if you don't stay for a full year, so it isn't like you are negotiating to get paid $20k vs. accepting the $10k that was offered.

I do see your point however, that you are one of many people willing to take the position but it seems to me, if they spent the time and money to give you an offer (not that you are particularly special) that they would alter a date that really wouldn't impact the contract materially. Good luck, it's always a risk.

Regards

Nov 11, 2010

PE is a different animal. For most kids coming right out of school it is a take it or leave it type offer. If you don't want the offer there are many more kids waiting to jump on the offer.

Nov 11, 2010

Mine comes in early March as well... but yea, it isn't as much as you think it will be after you factor in taxes...

Nov 11, 2010

yeah - analyst offers are FAR from negotiable. as I have said many times, we are easily - replaceable commodities.

Nov 11, 2010
afalcon10:

yeah - analyst offers are FAR from negotiable. as I have said many times, we are easily - replaceable commodities.

Yeah, I realize that...I just don't think the terms are changing materially, so there is little reason in my mind for HR to blacklist you from WS. But, like I said, it's a risk and one that I probably wouldn't be able to take/make, especially if the motivation was so I could party my senior year.

Regards

Nov 11, 2010
cphbravo96:
afalcon10:

yeah - analyst offers are FAR from negotiable. as I have said many times, we are easily - replaceable commodities.

Yeah, I realize that...I just don't think the terms are changing materially, so there is little reason in my mind for HR to blacklist you from WS. But, like I said, it's a risk and one that I probably wouldn't be able to take/make, especially if the motivation was so I could party my senior year.

Regards

Fair point, but I think you will need to provide a legitimate reason why and because you want to party your ass off is not going to fly.

Nov 11, 2010

since thats clearly my primary motivation / the argument I would present to my future employer....

i agree it shouldnt matter one iota of difference to the employer so why are they so resistant? i think its just that there is inertia to stick to protocol.

Nov 11, 2010

Why does it matter that all my charts show two decimal places vs one? Why do all the footnotes need to be verdana 8 instead of 9? Thats just the way shit is. The quicker you come to terms with the better.

Nov 11, 2010

Also, banks are huge bureaucratic organizations. At the bank I used to work at we could only have external hires start on the 1st or 15th due to the payroll system

Nov 11, 2010

i hear that my man, couldnt agree more

Nov 11, 2010

i hear that my man, couldnt agree more

Nov 11, 2010

Depends. You're referring to the first year analyst signing bonus, right? Some banks give it to you with your first paycheck. Most banks give it to you around March-April. A few banks give it to you a month or two after signing the offer.

You're better off asking the HR department bank-specific questions...

Array

Nov 11, 2010

usually with first paycheck but i have heard of others getting it earlier. call someone in hr

Nov 11, 2010

after background checks normally

Nov 11, 2010

yeah

Nov 11, 2010

BarCap (2012 start): mid November, 2011
DB (2012 start): mid May 2012

Nov 11, 2010

Got mine mid April. There is no consensus time, it is totally firm dependent.

Nov 11, 2010

Varies greatly by firm. Some got it recently, some got it in 09, some will in March, and some will be getting it when they start.

  • Child Please.
Nov 11, 2010

I got mine in June for an August start date a few years ago. Bear in mind that you shouldn't really ACCRUE this bonus until you are no longer under obligation to return it. (Likely one year after your start date.)

Nov 11, 2010

I got half of mine 2 weeks ago

Nov 11, 2010

Asked HR at the BB I'll be at back in January and they said "Q1-Q2"...

Nov 11, 2010

Ask your HR.

Nov 11, 2010

Is part of the signing bonus supposed to be deferred? My signing bonus is supposed to be 10k, but the check I got was for far less. It doesn't make sense for it to be taxed that much...

Nov 11, 2010

i got mine in 09... part of it is not deferred.. its just that the tax has been cut..

Nov 11, 2010

ews09, probably had tax withholdings around 40%, right?

Don't worry, if you're starting in summer 2010, you'll probably have a huge tax refund in April 2011 since you'll pay taxes based on an annual salary, but only earn half of your annnual salary.

I know it's no fun to give the government a interest free loan, but at least you'll see a nice check in 2011.

Nov 11, 2010

I'd guess it's paid in the same form as your SA signing bonus, i.e. with your first paycheck.

Nov 11, 2010

Don't know how it is with other banks but I will be getting it with my first paycheck.

Nov 11, 2010

For me it's with the first pay cheque

Nov 11, 2010

CS pays prior to first paycheck, though I don't think they've gone out yet.

Nov 11, 2010

I know some that are supposed to get theirs before January 1 and others that get theirs in April.

Nov 11, 2010

(not at CS)

Nov 11, 2010

This is almost always gross and not net pay right?

Nov 11, 2010

When does Goldman IBD get theirs?

Nov 11, 2010

Thanks for the feedback. I was told back in October from someone in HR to expect the signing bonus to be paid out in late November or early December. Well, it's early December and I haven't heard anything yet. Maybe it will be the 15th since that is when bi-monthly payday is?

Regarding Goldman IBD, I think last year they got theirs around this time. I haven't heard what the timing will be for this year.

Does anyone else have additional input on when signing bonus payout will likely be? Or, has anyone received theirs yet?

Nov 11, 2010

Are signing bonuses equal to the quoted amount, or is it the quoted amount less taxes?

Nov 11, 2010

I believe it is the quoted amount less taxes.

Nov 11, 2010

Usually it gets cut in the spring, near spring break (think March-ish).

Watch out for the shopping trip. First off, you're only going to walk away with 60% of the thing (so 6k instead of 10k) after taxes. Second, if you're going to move to the city you're going to need to cover your broker's fee. You're also going to have to cover your broke ass living in NYC on money that would be fabulous if it weren't for the taxes. There's no way you need to live it up for 6 grand in one go and screw yourself until your bonus the following year.

Nov 11, 2010

Do something fun with a little bit of it, but think slightly longer term and what sort of lifestyle you'd like when you arrive.

Nov 11, 2010

It's probably gonna cost you about that much to move into a decent place in the city.

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

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

Nov 11, 2010

taxes + brokers fee + security deposit = no shopping spree for you

boom

Nov 11, 2010

I already have a place :)
And I have pretty good savings....(just don't want to exhaust them )

Nov 11, 2010

I love how people come on here and have the gall to tell you how to spend your money. You asked when you get it, though people thought it worthwhile to add what to do with it.

Classic.

Nov 11, 2010
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Nov 11, 2010