Hey everyone - i'm an incoming first year analyst and I was just looking to see when firms pay out bonuses. I heard that most pay out in the summer for analysts but Centerview, Barclays, and UBS pay out in January/February. I was also confused on why its a stub bonus if they pay it out in the summer? Analysts start in July and hit the desk in August and if bonuses are paid out in June/July, we've been on the desk for 10/11 months.
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Most banks pay a stub for first year of employment and then a full year bonus cycle is on the typical Feb/March payout.
Some MM firms do not stub which reflects their much lower talent level (and other comp practices)
So incoming first year analysts can expect a bonus in January/February 2021?
In normal situations yes, stub is typically fixed or may vary 5k at most.
By do not stub, you mean they pay your first bonus after 18 months? That’s rough
Yes, MM is a large bucket. Blair / Baird do stub from what I hear, but can’t say all MM do.
Right, every firm is different, but for the places that expect 2-and-out behavior, it would be a bonus in August (to incentivize people to stay the full 2). Larger BBs will do a stub because they pay all employees bonus at the beginning of the year, so they get everyone on the same cycle.
if we’re all lucky, 2022
I don't know what some of the above comments are referring to. It is the norm across the street for analysts to get paid out on a summer bonus schedule to align with the two-year program and associates + get paid out on a calendar year. There are certainly a few firms that pay out stubs to analysts and have everyone on a calendar year but the vast majority of shops are on a summer schedule.
That said, my firm pays out in August and can confirm two of my friends at BBs and one other at an EB are all on the same timeline. I know some firms pay out a little earlier in mid-July.
This is wrong. A majority of banks started moving all IB professionals on calendar year bonus cycles ~2017 for simplicity or payroll, fuck if I know the real reason.
See the thread below. Maybe a few EBs do summer bonus for analyst, but I know for sure at least 2 major EBs are calendar cycle for analyst.
https://www.wallstreetoasis.com/forums/20192020-investment-banking-bonu…
all of the bonuses there are associates and up generally. my bank does summer bonuses, idk!
My BB also pays summer bonus, but by all means keep telling us we’re wrong intern.
Did you actually just tell this guy that he doesn't know when his own bonus is paid?
I’m at a BB bank. Analysts get paid in August. Associates get a stub in February and are on calendar.
Agree with this - believe most banks pay out at the end of the summer, but some follow a stub system
My gf wokrs at a bank that does bonuses in Feb / March. When can she expect to get the higher base though? In August? She is still stuck at the same salary......
Trash
Do you know the answer?
HELLO. Can someone respond please? I would like an answer now rather than in a week!
Most people I know are on a summer bonus cycle but have heard of other places doing the stub for juniors. To be honest the stub has never made sense to me for analysts since it doesn't match up with when you start. So you could leave right after two years in the summer and not get your second year bonus because that would get paid 6 months later after you've been there 2.5 years? Maybe I just never thought about it right. Always thought it was standard for once you get the associate promote that you would get your A2 bonus in the summer, then stub at YE for your first associate bonus and to get you on year end cycle then first full associate bonus the next year
Ok, but do you know the answer to when the pay bump occurs?
My EB gets paid out in August.
Barclays gets paid out mid July for analysts.
My bank pays analysts in mid-August, then stub in February for A2A, and everyone more senior than that is February
Yes, but when do we get the pay bump like giong from first year to second year (not bonus)
for those paid in summer, understand bonus are paid in August but: i) are they paid with the monthly pay or separately ii) when are they announced ?
With my semi-monthly paycheck.
Told about 1-2 weeks ahead of time of final rating and bonus #
For those with August bonuses, do 2nd years wait until September to start their exit opps or end up missing out on their bonus?
Usually you will still get your bonus if you leave on good terms. A lot of times your group heads will know your offer is for July (as an example), and assuming you are on good terms with them they will pay you out in August like everybody else.
Ahh got it thanks. Anyone heard of any horror stories about someone leaving on friendly terms, assuming they'd get one, and got screwed over?
Seems a little weird that they let something as important as a bonus depend on a group head's whim or unwritten agreement.
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