2021 End of Year Bonuses Forum

[Anonymous User]

Besides waiting on Milbank/DPW to smash the pathetic Cravath bonus scale, I'm also waiting with all my fingers crossed for Congress, the #1 most important group of obnoxious, self-involved boomers, to give us the mythical "increased SALT cap deduction" bonus.

Seems like a wash given that Congress is also proposing to eliminate backdoor Roth IRAs.

Not a wash for those of us at firms with plans that don’t allow backdoor Roths.

The SALT cap going up would be worth more than the new bonus scale - so far, at least. DPW could still change that

[cornerstone]

At the risk of telling a bunch of overworked anxious folks (I am one of you!) to calm down, I have to think the more delay there is with news, the better chance its very good news (I.e. a better scale). I would be shocked if these marquee firms (many with retention issues) don’t make timely bonus payments to their folks. Given the hesitance of some firms that could match the current scale in a heartbeat if they wanted to to do so, there must be more serious rumblings of a higher scale in utero and they are holding out. So, it’s a contrarian take, but I say bring on a few more days of delay.

Fair point. Could you imagine how pissed DPW associates would be if they took this long to announce only to match? The longer they deliberate, the more sure it is that there's going to be a raise.

[ScaleWatching]

Besides waiting on Milbank/DPW to smash the pathetic Cravath bonus scale, I'm also waiting with all my fingers crossed for Congress, the #1 most important group of obnoxious, self-involved boomers, to give us the mythical "increased SALT cap deduction" bonus.

Seems like a wash given that Congress is also proposing to eliminate backdoor Roth IRAs.

Not a wash for those of us at firms with plans that don’t allow backdoor Roths.

The SALT cap going up would be worth more than the new bonus scale - so far, at least. DPW could still change that

Just FYI - You don't need the firm to do a backdoor Roth. The real money is in the mega backdoor Roth IRA/401(k), which does require your firm's assistance, but you can at least sock away $6k this year in a tax-advantaged account, plus another $6k in a spousal IRA if you're married.

[Lesion of Doom]

Any chance that the Cravath raise would stick disappeared yesterday, imo. Dragging this out another week only to match makes no sense; something is going to change.

Senior management at my firm has said out loud they fully expect the scale to increase, hence no announcement. I like the theory above that DPW is playing chicken with other firms and will force them to delay bonuses, rush to match or true everyone up. But this isn't the cycle that any firm can afford to slip to Tier II. They're all making too much money.

[Cicero76]

Besides waiting on Milbank/DPW to smash the pathetic Cravath bonus scale, I'm also waiting with all my fingers crossed for Congress, the #1 most important group of obnoxious, self-involved boomers, to give us the mythical "increased SALT cap deduction" bonus.

Seems like a wash given that Congress is also proposing to eliminate backdoor Roth IRAs.

The backdoor elimination wouldn't kick in until 2031. You'll be a partner or dead by then so who cares.

[Anonymous User]

Besides waiting on Milbank/DPW to smash the pathetic Cravath bonus scale, I'm also waiting with all my fingers crossed for Congress, the #1 most important group of obnoxious, self-involved boomers, to give us the mythical "increased SALT cap deduction" bonus.

Seems like a wash given that Congress is also proposing to eliminate backdoor Roth IRAs.

Didn't they take that out?

[Wanderingdrock]

Besides waiting on Milbank/DPW to smash the pathetic Cravath bonus scale, I'm also waiting with all my fingers crossed for Congress, the #1 most important group of obnoxious, self-involved boomers, to give us the mythical "increased SALT cap deduction" bonus.

Seems like a wash given that Congress is also proposing to eliminate backdoor Roth IRAs.

Not a wash for those of us at firms with plans that don’t allow backdoor Roths.

The SALT cap going up would be worth more than the new bonus scale - so far, at least. DPW could still change that

Mega backdoor Roth and backdoor Roth IRA are not the same thing. If your firm doesn't allow mega backdoor Roth contributions to your 401(k), you can still do a backdoor Roth IRA contribution on your own. You can even do both if your firm allows the mega.

[Wanderingdrock]

Besides waiting on Milbank/DPW to smash the pathetic Cravath bonus scale, I'm also waiting with all my fingers crossed for Congress, the #1 most important group of obnoxious, self-involved boomers, to give us the mythical "increased SALT cap deduction" bonus.

Seems like a wash given that Congress is also proposing to eliminate backdoor Roth IRAs.

Didn't they take that out?

They did, then they put it back in. Dunno what happened since then, though - been reading this thread too much to pay attention to anything else.

[Anonymous User]

At this point shouldn't we be rooting AGAINST a DPW/Milbank announcement today? If they announce late on Friday, may mean they don't want it to get publicity. If they're gonna pwn CravaTTTh on the other hand, they'll want that to get some press attention, so no reason to announce Friday afternoon.

My instinct was the opposite. If they announce Friday afternoon and it hits ATL before the weekend they are guaranteed a full weekend of being top dog with no matches. Announce on Monday and you get a bunch of matches that same day and it sinks in less that you’re the trendsetter.

So I’m still hopeful for a Friday surprise.

I feel like that defines a trendsetter... they act and everyone follows close behind. This used to be CSM... apparently not anymore. I don't think DPW is playing chicken. That's not their style. Their style is to be the trendsetter. They will announce significant raises, nothing earth shattering, but enough that they won't be beat (max scale of 1st year 30k - 8year+ 140k - most likely to be 10, 15 and 20k bumps from the original scale though) and 98% of biglaw firms will match. DPW is not looking to put out a number that won't be matched... they know their true peer firms are matching anyway so what do they gain by doing that? Instead they will smartly be happy being the new market leader. Milbank won't raise because they're not stupid - they won't risk being one upped, their not fiscally dumb enough to attempt to put out an unbeatable number and for their position in the rankings they are a leader amongst who they probably see as their current competition/peer firms - I mean clearly everyone in this thread sees them as a market mover and next time such a raise or bump is being contemplated they'll probably still be there in the competion, so they are very happy to match a DPW bump quickly. There you have it, signed and sealed.

[almostperfectt]

At this point shouldn't we be rooting AGAINST a DPW/Milbank announcement today? If they announce late on Friday, may mean they don't want it to get publicity. If they're gonna pwn CravaTTTh on the other hand, they'll want that to get some press attention, so no reason to announce Friday afternoon.

My instinct was the opposite. If they announce Friday afternoon and it hits ATL before the weekend they are guaranteed a full weekend of being top dog with no matches. Announce on Monday and you get a bunch of matches that same day and it sinks in less that you’re the trendsetter.

So I’m still hopeful for a Friday surprise.

I feel like that defines a trendsetter... they act and everyone follows close behind. This used to be CSM... apparently not anymore. I don't think DPW is playing chicken. That's not their style. Their style is to be the trendsetter. They will announce significant raises, nothing earth shattering, but enough that they won't be beat (max scale of 1st year 30k - 8year+ 140k - most likely to be 10, 15 and 20k bumps from the original scale though) and 98% of biglaw firms will match. DPW is not looking to put out a number that won't be matched... they know their true peer firms are matching anyway so what do they gain by doing that? Instead they will smartly be happy being the new market leader. Milbank won't raise because they're not stupid - they won't risk being one upped, their not fiscally dumb enough to attempt to put out an unbeatable number and for their position in the rankings they are a leader amongst who they probably see as their current competition/peer firms - I mean clearly everyone in this thread sees them as a market mover and next time such a raise or bump is being contemplated they'll probably still be there in the competion, so they are very happy to match a DPW bump quickly. There you have it, signed and sealed.

Agree. Signed, sealed but not quite delivered

[Anonymous User]

DPW announced. Match + special bonus, payable 12/30.

Class of 2021 $15,000 N/A
Class of 2020 $20,000 $4,000
Class of 2019 $30,000 $6,000
Class of 2018 $57,500 $11,500
Class of 2017 $75,000 $15,000
Class of 2016 $90,000 $18,000
Class of 2015 $105,000 $21,000
Class of 2014+ $115,000 $23,000

[Anonymous User]

DPW announced. Match + special bonus, payable 12/30.

Class of 2021 $15,000 N/A
Class of 2020 $20,000 $4,000
Class of 2019 $30,000 $6,000
Class of 2018 $57,500 $11,500
Class of 2017 $75,000 $15,000
Class of 2016 $90,000 $18,000
Class of 2015 $105,000 $21,000
Class of 2014+ $115,000 $23,000

That's... really bad. Don't know what I am expecting. Milbank we're counting on you.

[Anonymous User]

As a DPW associate, wtf. Should’ve just matched then make us wait this long for that.

[Anonymous User]

DPW announced. Match + special bonus, payable 12/30.

Class of 2021 $15,000 N/A
Class of 2020 $20,000 $4,000
Class of 2019 $30,000 $6,000
Class of 2018 $57,500 $11,500
Class of 2017 $75,000 $15,000
Class of 2016 $90,000 $18,000
Class of 2015 $105,000 $21,000
Class of 2014+ $115,000 $23,000

Well, okay. At this point I’m actually just glad this bizarre situation is over (assuming no Milbank shenanigans).

[Anonymous User]

I’m most upset about the December 30 payout tbh. I was planning to tell people on the 16th that I was gone.

[LittleRedCorvette]

DPW announced. Match + special bonus, payable 12/30.

Class of 2021 $15,000 N/A
Class of 2020 $20,000 $4,000
Class of 2019 $30,000 $6,000
Class of 2018 $57,500 $11,500
Class of 2017 $75,000 $15,000
Class of 2016 $90,000 $18,000
Class of 2015 $105,000 $21,000
Class of 2014+ $115,000 $23,000

That's... really bad. Don't know what I am expecting. Milbank we're counting on you.

So on 12/30 does a 2015 grad get $105,000 or $126,000?

[EliteFlyer]

Just to be clear, is the DPW added payment on 12/30/2021 or 12/30/2022?

[Anonymous User]

DPW announced. Match + special bonus, payable 12/30.

Class of 2021 $15,000 N/A
Class of 2020 $20,000 $4,000
Class of 2019 $30,000 $6,000
Class of 2018 $57,500 $11,500
Class of 2017 $75,000 $15,000
Class of 2016 $90,000 $18,000
Class of 2015 $105,000 $21,000
Class of 2014+ $115,000 $23,000

That's... really bad. Don't know what I am expecting. Milbank we're counting on you.

So on 12/30 does a 2015 grad get $105,000 or $126,000?

126,000, both paid on 12/30/2021

Isn't this what people wanted? if we wrap up the special bonus with the base bonus, that's a 38% increase over last year's end of year bonus.

Tbh I don't know how people are calculating last year bonus

[Anonymous User]

All hope is lost…. Milbank come on.. here’s your chance to shine and become a V10.

[Anonymous User]

Sounds like Class of 2017 will get $90k this year instead of $65k (2020 bonus for 2016)? If so, I am satisfied with this, and will happily give my notice as soon as the bonus hits my account for my inhouse offer.

[Anonymous User]

Just to be clear, is the DPW added payment on 12/30/2021 or 12/30/2022?

All payable 12/30/21.

[Ultramar vistas]

Did DPW calculate their numbers just to give 2018 grads 69k? Nice.

[Anonymous User]

So these "special bonuses" are 20% of the year end bonus scale for each class year. That isn't a terrible raise over CSM in my opinion. But it is not blowing up the scale. This all looks cheap because it's payable at year end—no one who was going to leave will stay now because of these special bonuses. That's fine, I suppose. But because this "raise" is being labeled a special bonus, DPW et al will just revert to the CSM bonus scale next year unless the lateral market remains hot.

Frankly, this leaves Milbank/STB/Wilkie/whoever a good position to be bonus leader: just incorporate the "special bonus" into the actual year end bonus. They don't even need to raise above that total amount (though it would be welcomed obviously). But if CSM set bonuses starting at $20k, DPW set at $20k + a one-time special $4k, and then TBD firm just "raised" to $24k— will reward that firm as the true bonus comp leader. At least then the "scale" itself is upped for next year.

[Anonymous User]

Just so everyone has the scale in mind this is how we went (not counting the several mid-year bonuses paid out in the last two years):

First number is 2020, second is 2021 CSM and third is 2021 DPW


First Year
$15,000------->$20,000------->$24,000

Second Year
$25,000------->$30,000------->$36,000

Third Year
$50,000------->$57,500------->$69,000

Fourth Year
$65,000------->$75,000------->$90,000

Fifth Year
$80,000------->$90,000------->$108,000

Sixth Year
$90,000------->$105,000------->$126,000

Seventh Year+
$100,000------->$115,000------->$138,000

On average, CSM went about 15% over 2020 scale. On average DPW went about 40% over 2020 scale.

EDIT: Formatting

[Anonymous User]

Just so everyone has the scale in mind this is how we went (not counting the several mid-year bonuses paid out in the last two years):


2020 2021 CSM 2021 DPW
First Year $15,000 $20,000 $24,000
Second Year $25,000 $30,000 $36,000
Third Year $50,000 $57,500 $69,000
Fourth Year $65,000 $75,000 $90,000
Fifth Year $80,000 $90,000 $108,000
Sixth Year $90,000 $105,000 $126,000
Seventh Year+ $100,000 $115,000 $138,000

On average, CSM went about 15% over 2020 scale. On average DPW went about 40% 2020 scale.

Yeah I'm 2018 at DPW and, while I'm not blown away, I think it's a pretty good raise. They're clearly trying to have leverage to go back to the CSM scale next year but w/e.