Curious to know how pay stacks up now on Wall Street across divisions. From what I hear, 85K Prorated seems to be the norm right now for IB, but I'm intrigued in hearing about other people's experiences.
investment banking internship compensation
For the big banks, salaries are often pro-rated off of the full time first year analyst salary which on average is $85 K (as of 2018). This was true for 2017 and is true for 2018. As an analyst, you will receive an hourly salary based on this figure. Some banks, such as Bank of America, will also offer overtime if you work more than 40 hours; however, some banks do not. For example, Goldman Sachs in the US does not offer overtime payment for most divisions.
What Does Pro-Rated Mean?
In the context of a summer internship, a pro-rated salary will take the salary of the first-year analyst and turn it into an hourly salary based on some expectations of your hours worked.
For example: $85,000 salary is then assumed to be turned into a weekly salary so $85 K / 52 weeks a year = $1,634 a week. Then maybe the firm assumes a 60-hour work week = $1,634/ 60 hours a week = ~$27 an hour. That is roughly how a pro-rated salary is found.
Investment Banking Intern Salary
The Wall Street Oasis Investment Banking Industry Report offers details about salary and bonus figures all across the experience spectrum. Check it out below.
Take a look at the 2017 Wall Street Oasis Investment Banking Industry Report. This report includes hours worked, compensation, employee satisfaction and much more. Click the link below to get started.