How much you saved after 3 years?
As the title says, how much did you guys save after 3 years of being an analyst in say London/EMEA??
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US analyst, finished year 1 at an EB and have $115k saved and came into IB with maybe $20k
Holy shit. What was your first year all in comp?
Pre tax about 160 (top bucket). Honestly I got worked so hard that I didn’t even get to spend the money. Also made a good amount on my random stock investments (thx tech bubble)
Not sure it is possible to save $95k on $160k pre-tax but might be missing something
Yes you are missing return on investment which was mentioned
Saw that. Figured less than one year of returns on almost all of that comp wouldn't move the needle a ton.
Excluding investments, how much of that savings is in cash from your banking comp
Very possible in a low-tax state. Live way below your means and be as frugal as possible. The little things add up.
Impressive
Above answer is impressive, what is a more typical amount to save on street comp in first year in NY? How much of base is possible?
Most people spend the base and save the bonus. Very possible to save some of your base salary too.
On $150k or whatever it is (sans loans) that brings you to ~$110k given the way bonuses are taxed. At this point with NY real estate, you can get a nice studio in a nice building for $24k/yr now we are at $86k. Even if you are spending $2k/mo on CC and whatever else you should still be able to save $60k+
I think that is a pretty realistic scenario in which you are living pretty well. Roommates in a nice building can get rent below $2k.
Thanks, appreciate the breakdown. Not used to NYC/city prices and had the virtual summer so don't really understand the extent of NYC cost of living yet. I remember many people say spend the base, save the bonus which seemed pretty low to me given that my after tax was about 5k a month from the base so I could see being able to save some of that, but wasn't sure if I was underestimating NY costs.
How many time do we have to say this, bonuses are not taxed differently. They are withheld differently, you pay the same tax rate on all your earnings. Edit: Sorry this seemed a little snarky, did not mean that
Taxes bring you below 100k on 150k in income in NYC. Net effective rate is like 35% at this level for single filers. Shit is insane.
Throw other payroll deductions like healthcare premiums and you’re in the low 90s in take home pay.
Above answers are for the US, very different. My friends in LDN saved £30-50k in 2-3yrs.
Saved about ~GBP 95k after 3 years of IBD in London (1 stub + 2 full year bonuses). Lived pretty frugally and did not make any big purchases.
Including pension scheme?
No. Had an additional GBP 15k in pension.
Bumping for London stats. Personally c.60k GBP after 3 years (ignore my tag) working in CB and Credit
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