BigLaw Salary Tax Forum

[Anonymous User]

Can biglaw associates in NYC break down their average/effective federal income tax rate and discuss some of the "penalties" of making 160k. I know PEP, Pease, and AMT kick in (so any itemized including interest payments can't be deducted as a result of AMT), so do associates just rely on reimbursed expenditures (meals, travel) to make up some of those hits? Are biglaw firms stingy about reimbursing, leaving you with an itemized that can't be deducted?

[Dr. Review]

http://www.adp.com/tools-and-resources/ ... lator.aspx

[dixiecupdrinking]

You get screwed on income tax, basically. $96k net is a good estimate post-tax (fed/state/local/FICA/whatever else) and pre-payroll deductions. Firms reimburse all your business expenses.

[Anonymous User]

You get screwed on income tax, basically. $96k net is a good estimate post-tax (fed/state/local/FICA/whatever else) and pre-payroll deductions. Firms reimburse all your business expenses.

Not to be a noob, but how liberally is "business expenses" interpreted? Is there usually a formal rule depending on the firm, an unwritten understanding industry-wide, or is it just whatever the hell you can possibly get the firm to approve?

[GOATlawman]

You get screwed on income tax, basically. $96k net is a good estimate post-tax (fed/state/local/FICA/whatever else) and pre-payroll deductions. Firms reimburse all your business expenses.

Not to be a noob, but how liberally is "business expenses" interpreted? Is there usually a formal rule depending on the firm, an unwritten understanding industry-wide, or is it just whatever the hell you can possibly get the firm to approve?

Varies by firm. They have set policies for everything

Some will make you buy your own 2nd monitor, some will give you one. I think some will contribute to your at-home docking station, but most places I know of at least this falls on you.

[fats provolone]

at home docking station is so clutch