Relocation bonus for internship?

Anonymous Monkey's picture
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Rank: Chimp | 0

Read my offer letter and it said I'm eligible for a relocation bonus. However, I wont be relocating for the internship. Do I still get the money or will I have to return it to them?

Comments (37)

Feb 29, 2012

you get it. it's a signing bonus.

Feb 29, 2012

You get it even if you live exactly where you'll live during the summer. Pocket the money (NYC, taxed at 40%), put a smile on your face, and go about your life.

Feb 29, 2012

At my BB, we receive the $2k in our first paycheck.

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I have deleted this account (or tried). If there is somehow posts still occuring, it is not from the original account holder.

Feb 29, 2012
luckynum7:

At my BB, we receive the $2k in our first paycheck.

Oh shit, that's probably not until the third week or so...

Feb 29, 2012

i was told within two weeks of starting. 2k as well here

Feb 29, 2012

Usually before start date in a separate check or with first paycheck (depending on the bank)

Feb 29, 2012

Last year it was paid at the end of the first week, and that was standard across most banks, IBD & S&T.

Feb 29, 2012

It's heavily taxed right?

Feb 29, 2012

Yes. Expect to get a little more than 50% of the check. I think around ~1100-1200...

Feb 29, 2012
James07:

Yes. Expect to get a little more than 50% of the check. I think around ~1100-1200...

WTF? Most people get it back when they file taxes, right? Wow, such bs.

Feb 29, 2012

Yes you do - it's withheld at a higher rate, but you get some of it back when you file for taxes, but it sucks having it tied up with the IRS...

Feb 29, 2012

Wait until your first bonus! It's like Christmas morning...if you woke up to find a car in the driveway, but then your dad keys it in front of you.

Feb 29, 2012

Different banks do different things, but my understanding from talking to people who interned last year is that the relocation bonus for SA's is tacked onto the first paycheck in its entirety, you do not need to show proof that you are actually spending that much on housing (it's really more or less a signing bonus and not a relocation bonus), and it is taxed heavily. Everything except the final point may vary by bank - the 2K is definitely taxed and no, the rent you pay cannot be deducted because rent is not a tax deduction.

Feb 29, 2012

rent cannot be duducted. If it could that would be awesome from a renters point of view.

Feb 29, 2012

I interned with JPM last summer, and the housing check and travel reimbursement were not taxed at all.

Feb 29, 2012

I'm getting transportation costs covered and a 2k stipend for a SA BB>

Feb 29, 2012

most likely first paycheck, which will be taxed to death

Feb 29, 2012

Although I believe in the new stimulus package is less witholding... so it will only be taxed to very very very near-death.

Feb 29, 2012

I was told 2nd week into the program you get your first paycheck plus a separate stipen

Feb 29, 2012

I was told 2nd week into the program you get your first paycheck plus a separate stipen... This is for a BB

Feb 29, 2012

it's not taxed to death. if you read carefully, the language says 2k after taxes. and you get it in your first paycheck

Feb 29, 2012
LeggoMyGekko:

it's not taxed to death. if you read carefully, the language says 2k after taxes. and you get it in your first paycheck

Sounds like it varies by firm, but it definitely says "paid minus applicable taxes" on mine. Given the rest of my comp though (oh, and you know, having a job), I'm not going to cry over taxes on a stipend.

Feb 29, 2012

it must vary by firm, mine was definitely taxed at around 50%

Feb 29, 2012

My $2,000 stipend last year ended up being $1,120 after taxes. I received it in my first paycheck, not beforehand.

Feb 29, 2012

I got $1200 from 2k stipend.....but I think I'm getting some of it back in my tax return...

Feb 29, 2012

My offer letter just says that I get the 2k stipen, but not that it will be taxed. It says my salary of 1156, will be taxed hrmmmmm

Feb 29, 2012

wtf is 1156? you mean pay of 1250/week? 60 prorated at 48 weeks = 1250

Feb 29, 2012

that's what I was offered $1156 a week and 2k stipen... obv I may have been fucked over, but do I care??? nooooooooooo

P.S- This is for a BB. I received the offer in august, from early interviewing, and turned down an offer from Citi finance div.

Feb 29, 2012

wtf is 1156? you mean pay of 1250/week? 60 prorated at 48 weeks = 1250

There are 52 weeks in a year, so he's correct in that his weekly salary is ~$1154.

As to the original question: my relocation came in April, but some banks don't payout until the first paycheck. Ask your recruiter / HR rep, they won't be offended.

Feb 29, 2012

When I saw 1250, I was curious as to how they got that too.

60,000/x = 1250
x = 48

I know this for sure for Citi and Moelis

Feb 29, 2012
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Feb 29, 2012