Basically what's the lowest you'd take? By "good" I mean a salary that allows someone to pay their rent/mortgage and have money left over for things like entertainment or savings, one that allows them to not just work to live
| +96 | Are you “less ambitious” for having long term goals outside of NYC | 24 | 1d | |
| +45 | Interviews Are So Fake | 28 | 56m | |
| +33 | 2024 UK Election - Tories finished? | 21 | 4h | |
| +29 | Being Christian in investment banking | 14 | 1d | |
| +25 | Non-Competes Banned | 24 | 1h | |
| How do I become Sigma | 14 | 2h | ||
| +19 | ADHD ! | 4 | 4h | |
| +19 | Moelis has the cutest Analysts? | 4 | 1d | |
| +18 | Best NYC neighborhood for single 30M | 12 | 2d | |
| +16 | Underage intern, drinking? | 7 | 1d |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
WSO has ruined this for me lol. Going into college I thought that $90k right out of school was amazing. Not so much anymore. Comparison is the thief of joy.
The worst are the “how much have you saved up” threads
I actually like these threads. It gives me something to peg myself against who aren't my friends (mostly non-IB) who have terrible money habits
You have to keep in mind that those posts aren't the truth because people lie. Kids who come from a wealthy backgrounds tend to lie and and overestimate their success from their own doing. When your parents covered 100% of your expenses, paid your tuition, bought you a new car and paid your rent through college, you aren't self made. If you went to an ivy, you most likely didn't attend on a full ride as those are only given to a small minority of people. If all of that was you, then of course you have $200k+ saved at 25 working in the highest paying job possible out of university. One of my friends majored in hospitality and tourism, went through three cars while in college and said he just bought them himself, when in reality his dad made more than a million a year lmao. I'm willing to bet the people who claim to have saved an insane amount at a young age did not come from a middle/upper middle class background like most of us.
Deleted
40k salart by 25? Are you a barista?
$250k personally is probably the amount I'd need to live the way I want, take vacations, etc. and have a good amount of $$$ left over to save. I was at $225k in my last job and was able to afford anything I wanted, even in a HCOL area. A little more and I'd be able to afford more for a better apartment or house with mortgage and still live well.
Number goes up a good amount with kids. If I was married I'd probably want $400k or so combined as a household to live the way I'd want, unless I'm in a LCOL area. I have a girlfriend who makes good money in her job so we trade off paying for meals out etc. so we're probably almost there as it stands today.
This isn't the "lowest" I'd take but I wouldn't take a job that didn't put me on a trajectory to make that much in a few years. I would work for $150k if the opportunity was right, but would need to see upside potential in the future.
A salary the top bracket of salaries at the job that makes you happy. The higher the better so long as you're happy.
For me it depends on the time split, location, and career path. I generally think most people on here or in the industry are compensated better than our buddies outside of it. But like as an example for recent grads I’d personally take 65k plus bonus for 50-60 hours worked over 85k plus bonus for 80-100 hours worked.
AFAIK the bonus in Corp fin is close to nonexistent so it would be more like 70 vs 140 all-in
The lifestyle of that job is worth it for a cut like that to me especially at like 23. I like sales and client relations. With promotions and movement later you’ll be making much more but yeah it’s hard to match IBD comp across the board haha it’s all about what you’re willing to trade off.
Depends on the city. As a single male I would say in NYC 100k-120k all-in but a tier 2/3 finance city 60-70k would be enough. If you decided to settle down, purchase a home, have kids, etc. though the salary requirements are much higher. I can’t really comment thought on that because I’ve never looked into those costs.
Very dependent on age, geography, lifestyle.
23 in Jacksonville with a roommate? $50k probably feels unlimited. 36 in LA with your second kid on the way? I’d probably need 400k (obviously people make it work with less, but this is my perspective).
My first job out of school paid $60k in Texas. Wasn’t great, but I never felt stretched and could put away a grand or so a month. Now I’m at $400k in NYC planning for DINK lifestyle, and this is more than enough to live the life I want (expensive meals, nice vacations, six figure annual savings). For late 20s DINK in NYC, I’d probably cap comfortable living at $250k of cash comp minimum
$250k combined or avg comp per spouse?
Agree with this. Then add to that how some people have lifestyle creep and all of a sudden a “minimum” standard of living includes first class flights, suites at 5 star hotels, etc and you get answers across the board.
Similar to this post, I started my career at $40k (with a $3k bonus, which made me feel rich) and I was able to save ~20% of my income, have “fancy” meals (for me, wasn’t in nyc) and travel a bit (obviously had to plan for it).
Many years later and many multiples on this number and it doesn’t feel materially different. Yes, I have more financial freedom, I travel more and go on spontaneous trips, etc. But it’s mostly just nicer things (and sometimes more) than I had before.
Depends on where you live. Literally the biggest factor above all else here. After that, age and family/children.
Depends on career path - with the exception of certain scenarios (entrepreneurship, high finance, top tech co / successful vc-backed startup employees, quant finance, medicine, executives, real estate, wealth management, top-level arts / sports / entertainment professionals, top tier professional services firms, big ticket sales positions etc) people just have much lower career earnings ceilings and slower early-mid career salary progression.
It isn’t normal anywhere to be making $200k+ a year as a working professional (talk about in your early-mid 20s) most people are happy to ever break $100k if they even do. A solid career for most people would mean starting off at ~$40-60k and ending up at ~$120-150k, maybe even up to $200k steady state, in the UK more like £25-35k and £60-80k, maybe up to £100-120k. You often forget this reality when you spend a ton of time with people in those “exempted” scenarios where high comp is just kind of expected.
In another life, if I didn’t choose to chase the high paying yuppie career path I would almost certainly not have the expectations I do now. But because I am, normal no longer seems good enough. I want to be competitive with my peers from college / my friend group. I want the nice upper middle class to elite lifestyle of premium goods & services, comfortable travel, a premium living situation, convenience, overabundant financial reserves, private schools / a good school district for my kids. I want to “feel” important and have some kind of economic impact. Sitting at the “furnace” of capitalism. And because of that, I unfortunately have to make the sacrifices, choose the “right” paths and reset my expectations to aim higher financially. That’s just how it goes.
being able to save 50% post tax salary after expenses.
this is the best answer
deleted
I’m not sure if any such role exists
Mid level SWE
As a single guy in a major metro (ex SF / Manhattan given absurdly high COL), making 150k pre-tax is more than enough to enjoy all the amenities you want while stashing away a bunch of savings. If you have a fam (wife + 2 kids), you probably need closer to 400-500k (maybe 600-700k for 3 kids)
Right now my career trajectory seems to be on track for this (knock on wood) in a 45-50-hr per week job (probably goes up to 50-55hr when I get to more senior levels) which is about as well of a work-life balance to comp ratio you'll find outside of some tech roles
People overestimate the cost of kids. You do not need 400k-500k to live in a nice house and take nice vacations in a major metro that is not NYC/LA/SF. But then again idk how ppl define "comfortable".
Agreed. Grew up in one of these metros and had an upper-middle class upbringing with amenities that were amazing. Our household income was $250-300K growing up. And for that reason, I think $300-350K household income if spent and saved wisely is more than enough to live comfortably.
I lived 1 hour away from the most expensive part of my metro but lived in the safest area with the best schools. Really can't beat that.
So for that reason, I consider good income 250K+ (ideally 300-400K household).
What do you do? Those hours sound awesome
LO AM
In continental Europe, not UK. Think about PIIGS.
With 150k you are nearly a king, even in a Metro. In a country where 20k pre-taxes is average, imagine what people would do with 400k.
Personally, I would be satisfied enough with 350k post-taxes, at my 40s.
My spouse and I combine for ~$200k/year in TX and l have no money issues, purchased a ~3,000 square foot house about 20 mins from downtown. Have one kid.
I think this number would need to be something like $350k to maintain roughly the same lifestyle in NYC/LA though. Maybe even more in the bay area.
This guy fucks
Not anymore - he's married...
Cost of living is such a huge factor. I think the ability to work remotely is really making me consider moving out of SoCal.
My wife and I make $305k combined, and I picked up a second part time gig (6-8 hours a week, $50 an hour) so maybe $18k on top of that (it’s a passion thing, not so much for money). So all in 323ish. We don’t really have issues with money, but affording a non townhouse in LA is a long way off. I’d need to further level up my career. I plan on doing that anyway. But somewhere where a house doesn’t cost $2MM minimum would be awesome
SoCal is awesome. You could get a place in San Diego up to Orange County before it starts to get too expensive. I've lived in Encinitas for a year and loved it. My sister lives in San Clemente and it is a nice affordable area too.
I do plan on moving to OC in the near future. My job just announced return to office (in LA area), so I may just find a remote job and buy a place down in Aliso Viejo/ Laguna Niguel area. It’s gorgeous down there
Just curious, can I ask what the 6-8 hour a week passion job is. I was thinking musician but they don't really make that much. I assume you teach some sort of specialized class? Like woodworking/martial arts/piano or something else (just random examples lmao).
It’s not a “passion” like an artistic pursuit. I love helping people with their careers, it’s like a career coach in a way. I read resumes, do mock interviews, speak in front of people on a panel (virtually right now). That type of stuff.
Cities-
HCOL-(NY/SF)- $180,000+
MCOL-(Nash/CHI)- $120,000+
LCOL-(Branson/Twin Cities)- $75,000+
Towns/small cities- $65,000+
I think it is close. I would say the following:
HCOL: $150K
MCOL: $120K
LCOL: $100K
Town: $85K
This isn't the minimum I'd consider a good salary, but for me to be really happy and not care about getting a raise or whatever, 300k in NY. I'm an analyst in NY and my 95k base is really good and I don't find myself struggling with anything, but I know the 175k base plus whatever the new bonus structure is at the associate level would be really nice. If I could stay at around 300k I'd be very happy. Would sacrifice pay bumps if it meant my hours went down too.
This mentality is so foreign to me- the only thing I care about is how much I have saved. 2mm minimum, ideally 5mm+ to have >150k of spending supported by investments.
I’m miles away from this as a current MBA but I don’t think I’ll feel comfortable as long as I have <2mm in savings, which would support a median family lifestyle of 60k on a 3% withdrawal rate.
It seems foreign to you? Every MBA school has an average salary post graduation. It is widely reported and widely discussed. I'm sorry that you just can't quite grasp this concept.
I think you’re misunderstanding me… I am aware of average salary reports and have a very good idea what you get paid bc I am a IB summer associate right now.
The mentality that is foreign to me is the idea of what salary you need to feel comfortable- as I discussed, there is really no amount of salary that I would feel comfortable on without significant savings.
agree w/ this
i make good money now (way more than i would have expected in college or even a couple years ago tbh) but to feel financial free i'd want to have a couple mill in the bank at the end of the day
5mm to have 150k spending supported by investments? That implies a 3% return. Even after tax that seems quite low - am I missing something?
Read up about the concept of the Safe Withdrawal Rate
Like other said, my expectations have been shattered by WSO. Coming into college, I thought 85k would be a great salary (and it is) but now I want to be making seven figures by early thirties.
Anything below $250k is considered peasant to me especially considering the hyperinflation were experiencing now
You're in Equity Research and $250k is "peasant" to you? Do you even make 6 figures?
Ya I made $300k last year Amigo
I work at a L/S equity HF
--
I am in Houston and 15 years out of college...
$250k base..bonus can be 0-10x base
home, vacations, 3 country clubs, lots of golf and wine
do u have a GF/SO and kids?
what do you do that your bonus can be 10x?
broker.... 10x is not even the cap.. just a safe range
GF. (no clue what she makes), no kids
why don't u ask her how much she makes or look up salary on glassdoor ?
cause i dont care...
Iste voluptatem accusamus qui similique voluptatem aut. Dolorem consequatur quia dicta iusto. Alias est quae nulla molestiae voluptatum. Rem aut et earum voluptatem quam laborum quis quos. Sed beatae beatae ut doloremque.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Voluptas in quod autem corrupti corporis. Ab quaerat omnis non non saepe voluptatem. Velit molestiae assumenda placeat consequatur inventore et. Ratione qui necessitatibus vel deleniti ipsam velit ut nam. Dolores sit eum officiis vel ducimus. Sed modi cumque consequuntur quo enim.
Tempore et rerum corporis nam consectetur. Dolor dolorum doloribus sunt illo illo debitis.
Repellat non expedita autem aspernatur aliquid esse pariatur. Sequi consectetur omnis ea recusandae. Asperiores laborum ipsa praesentium consequatur fuga.
Et perferendis possimus porro alias sint illo quae quia. Dignissimos ut tempore officiis provident quos minus. Quos asperiores deleniti natus deserunt. Perferendis animi facere et qui itaque minima.
Sint autem voluptatibus nostrum veritatis ratione esse. Illum repudiandae aut adipisci possimus facere totam autem. Ipsam excepturi omnis nisi temporibus aliquid quos. Tempore sunt ea voluptas deleniti at eligendi. Ipsum ut provident nihil nemo inventore voluptas. Aut officia molestias ut. Unde reiciendis minima natus est officia perspiciatis.