2021 End of Year Bonuses Forum

[TUwave]

CRAVATH ANNOUNCED!!!

2021 = $15k (pro rated)
2020 = $20k
2019 = $30k
2018 = $57.5k
2017 = $75k
2016 = $90k
2015 = $105k
2014 = $115k

Lol I wish they didn't

[Anonymous User]

OK, so what are the odds that the CravaTTTh scale sticks this year versus DPW/Milbank/etc. raise?

[lawdude31]

Excellent chance someone raises.

[objctnyrhnr]

Man Cravath is setting itself up to get brutally embarrassed.

I’m frankly just a little concerned that all of the v20 collectively think they can get away with only matching (after all it is cravath).

Then also there’s the concern that the v50 will just be like “we match the market cravath scale as we always have” or some BS.

Comeonnnnnn dpw

[Anonymous User]

Here's my best guess: DPW/Milbank/Simpson accept the Cravath scale as the official year-end annual bonus scale, but they announce an additional special [year end bonus][retention bonus payable in March] set at 25-50% of Cravath's EOY bonus scale.

[glitched]

Man Cravath is setting itself up to get brutally embarrassed.

I’m frankly just a little concerned that all of the v20 collectively think they can get away with only matching (after all it is cravath).

Then also there’s the concern that the v50 will just be like “we match the market cravath scale as we always have” or some BS.

Comeonnnnnn dpw

Seriously. This is just sad. Especially since Cravath probably considers themselves in the same realm as Wachtell, where third years will make as much as Cravath's seniors at this rate.

[Anon-non-anon]

Here's my best guess: DPW/Milbank/Simpson accept the Cravath scale as the official year-end annual bonus scale, but they announce an additional special [year end bonus][retention bonus payable in March] set at 25-50% of Cravath's EOY bonus scale.

This seems very likely as retention bonus, sadly.

[peoplearehungry]

CRAVATH ANNOUNCED!!!

2021 = $15k (pro rated)
2020 = $20k
2019 = $30k
2018 = $57.5k
2017 = $75k
2016 = $90k
2015 = $105k
2014 = $115k

This is an opening bid, though not a particularly good one. The only real question is if the raise comes tomorrow or next week.

[Anonymous User]

I agree that the most likely outcome here is no one beats Cravath on the EOY scale, but someone previews special comp coming in the spring. No clue how big that will be.

[Anonymous User]

Excellent chance someone raises.

DPW partners currently foaming at the mouth.

[Anonymous User]

Excellent chance someone raises.

DPW partners currently foaming at the mouth.

I bet they are, mostly about how much more money they’ll get to distribute out to the partners now.

[Anonymous User]

I will be ranking cravaTTTh at the bottom of the next Vault rankings.

[Anonymous User]

This is maybe a known thing and I'm just ignorant, but does Cravath do a multiplier for high performers? Like the class of 2015 person who does 3000 billables isn't really getting $105K right?

[TigerIsBack]

I will be ranking cravaTTTh at the bottom of the next Vault rankings.

This is what we all need to takeaway from this. CravaTTTh to V13.

[Anonymous User]

This is maybe a known thing and I'm just ignorant, but does Cravath do a multiplier for high performers? Like the class of 2015 person who does 3000 billables isn't really getting $105K right?

right? RIGHT?

I've never seen them mentioned in any multiplier thread. These bonuses are a joke compared to the K&E signing bonuses in that other thread. I guess it's time.

[Anonymous User]

Here's my best guess: DPW/Milbank/Simpson accept the Cravath scale as the official year-end annual bonus scale, but they announce an additional special [year end bonus][retention bonus payable in March] set at 25-50% of Cravath's EOY bonus scale.

That would still be a fairly disappointing outcome, IMO. The 2021 special bonuses (in total) were pegged to 50-60% of EOY bonus. So announcing special bonuses in the [25-50%] X [EOY] range is a major step backwards.

Side-note: how come it’s always Milbank, DPW, and STB in the mix here? What about other high-PPP firms like SullCrom or P,W? My understanding is that SullCrom has lower leverage (associates:partner) so the raises should be less costly for them.

[Anonymous User]

Thoughts on whether the stub/first year distinction will survive all of the matches/raises? Stubs bonuses are already prorated, they're saving not even $1,700 per stub-year associate by making the bonus less than first years. How petty for a firm at this level.

I'm counting on some combination of DPW/Milbank/STB to come over the top by a decent bit. Special bonus separate from the EOY scale makes sense to me, recognizing the difficult year and ruined lives to line the partners pockets, etc. I don't really care what they call it, but this scale from Cravath scale is a joke for what the last year has looked like in corp.

[Anonymous User]

DPW reacts quickly, some recent history:

• 1-day interval on the $205k salary scale bump (Milbank on June 10; DPW raises on June 11)
• 3-day interval on the 2021 special bonuses (Willkie on March 19 [Friday]; DPW raises on March 22 [Monday])
• 1-day interval on the 2020 fall special bonus (Cooley on September 14; DPW raises on September 15)

And — unlike the special bonuses — it's not like the holiday bonus takes anybody by surprise.

*If* DPW is going to raise, we could see it tomorrow. But next Monday is also a good candidate.

[BrowsingTLS]

Thoughts on whether the stub/first year distinction will survive all of the matches/raises? Stubs bonuses are already prorated, they're saving not even $1,700 per stub-year associate by making the bonus less than first years. How petty for a firm at this level.

I'm counting on some combination of DPW/Milbank/STB to come over the top by a decent bit. Special bonus separate from the EOY scale makes sense to me, recognizing the difficult year and ruined lives to line the partners pockets, etc. I don't really care what they call it, but this scale from Cravath scale is a joke for what the last year has looked like in corp.

Most firms will pay stubs and first-years the same but pro-rate stubs.

Fun fact: During the last associate COMPENSATION raise not bonus raise, DPW got away with fucking its stubs by paying them a different base salary than non-stub first years. Most firms treated first-year and stub-year comp the same, including firms ranked lower than DPW. Very few people pointed out this irony that a V50 stub would be making more than a DPW stub.

[Anonymous User]

We're all leaving Willkie off the list of potential next movers, but they've made waves on bonuses recently. Seems like a plausible candidate to top CSM.

[Anonymous User]

2017 corp. Total comp this year was $382,000. Not doing this again to make only $13k more. That’s a 3.4% nominal YOY increase and lags the current 7-10% US inflation rate. Scale to 80k for 2017 this year + COVID bonuses or else there is no difference in going in house and taking a large share of comp in restricted stock.

[Anonymous User]

This is an excellent opportunity for a Millbank or Davis Polk to rub it in Cravath's face.

[fmrez]

Honestly think something like the below is a distinct possibility, slight increase to base with promise of some Spring/Summer special payouts.

* Class of 2021: Base: $20,000 (pro-rated); May 2022 Special Bonus: $10,000 (pro-rated); total: $30,000 (pro-rated)
* Class of 2020: Base: $20,000; May 2022 Special Bonus: $10,000; total: $30,000
* Class of 2019: Base: $30,000; May 2022 Special Bonus: $15,000; total: $45,000
* Class of 2018: Base: $60,000; May 2022 Special Bonus: $20,000; total: $80,000
* Class of 2017: Base: $75,000; May 2022 Special Bonus: $25,000; total: $100,000
* Class of 2016: Base: $90,000; May 2022 Special Bonus: $30,000; total: $120,000
* Class of 2015: Base: $100,000; May 2022 Special Bonus: $35,000; total: $135,000
* Class of 2014 and above: Base: $120,000; May 2022 Special Bonus: $40,000; total: $160,000

This was me. Sorry y'all.

Well, since you nailed this one - quick, how will DPW/Millbank/[some surprise contender] top this scale?

kthx!

As you can probably tell from my prognostication, I'm a pessimist (though not clearly pessimistic enough given that I thought they might offer up some mid-year bonuses). I don't think anyone tops this. Wow, the year was gangbusters for ppp and we all worked really hard? That's word for word what associates complain about every year.

Let's put on our partner hats. They think they have already compensated associates over the last two years with increased salaries and special bonuses. It makes much more fiscal sense to incrementally/slowly increase EOY as that gets locked in forever (reducing it would be suicide). Apparently they've already been digging deep into pockets to pay fat signing bonuses for laterals, so to the extent the incremental increase causes a round of angry exits (which always happens anyways), then its easier to put out the small fires with juicing up some signing bonuses than locking in massive EOY bonuses for everyone.

[ExpOriental]

Thoughts on whether the stub/first year distinction will survive all of the matches/raises? Stubs bonuses are already prorated, they're saving not even $1,700 per stub-year associate by making the bonus less than first years. How petty for a firm at this level.

I'm counting on some combination of DPW/Milbank/STB to come over the top by a decent bit. Special bonus separate from the EOY scale makes sense to me, recognizing the difficult year and ruined lives to line the partners pockets, etc. I don't really care what they call it, but this scale from Cravath scale is a joke for what the last year has looked like in corp.

Most firms will pay stubs and first-years the same but pro-rate stubs.

Fun fact: During the last associate COMPENSATION raise not bonus raise, DPW got away with fucking its stubs by paying them a different base salary than non-stub first years. Most firms treated first-year and stub-year comp the same, including firms ranked lower than DPW. Very few people pointed out this irony that a V50 stub would be making more than a DPW stub.

It's a difference of like <$500 when all is said and done. No one cares.

[Definitely Not North]

Most firms will pay stubs and first-years the same but pro-rate stubs.

Fun fact: During the last associate COMPENSATION raise not bonus raise, DPW got away with fucking its stubs by paying them a different base salary than non-stub first years. Most firms treated first-year and stub-year comp the same, including firms ranked lower than DPW. Very few people pointed out this irony that a V50 stub would be making more than a DPW stub.

very few people pointed it out because it was dumb to spend more than 1 second thinking about what is essentially a rounding error in comp for the least important people at the firm