Salary in proportion with billable hours Forum

[Anonymous User]

I'd like to get a discussion going regarding how proportionate or disproportionate one's salary is compared to their annual billing requirement. For example, if one's salary is let's say between 90-100k, how much should this firm expect their associates to bill?

I'm in the 80-90k range. Second year associate practicing ID. Major west coast city. My billing requirement is 2000, but I'll get laughed at and pretty much blacklisted if that's all I billed. The "real" requirement at this place is 2200-2300 which I'm coming to find is ridiculous since i think that amount of billables is reserved for the bigger, better Big Law firms and second, my practice group barely has enough work for me to even hit 2000. Curious to see what u guys think. Thanks.

[kalvano]

$80,000 - $90,000 for 2,000 hours is nuts. That type of salary should be for around 1500 or 1600 hours.

[Anonymous User]

ID firms usually require very high hours for lower salaries because insurance companies pay extremely low hourly rates. My firm does some insured L&E work and while our insurance rates are ambismal, I think they're still above the true ID firm rates. I imagine a pure ID firm would be billing associates sometimes as low as $120/hr, which kills associate productivity.

A friend of mine working in a South Florida ID firm is required to bill 2000 hours for $85k.

[favabeansoup]

practicing ID

I always thought insurance defense was known as the the absolute worst in terms of billables required vs salary. Like horrendously bad. I knew people in insurance defense with 2300-2400 hour requirements with similar 80-90k salaries. It's such a scam/sweatshop its ridiculous.

They would try to keep people there by promising them shorter partnership tracks, more involvement with firm management, etc, but they would rarely deliver on those promises. At least you get paid well in biglaw when you get fucked.

[Anonymous User]

practicing ID

I always thought insurance defense was known as the the absolute worst in terms of billables required vs salary. Like horrendously bad. I knew people in insurance defense with 2300-2400 hour requirements with similar 80-90k salaries. It's such a scam/sweatshop its ridiculous.

They would try to keep people there by promising them shorter partnership tracks, more involvement with firm management, etc, but they would rarely deliver on those promises. At least you get paid well in biglaw when you get fucked.

OP here. 100% agree it's a sweatshop around here. It's been frustrating because I was given false promises when I joined the firm and I'm approaching a year at this place and it's clear that the firm has no intention of sticking to anything they said they would. I'm scrambling day in and out just to put up numbers and although the folks in my office are nice and supportive, the work isn't there...and of course if work isn't there, I can just kiss my chance at any bonus goodbye. I like the bossman but I think I'll be starting to look elsewhere sooner rather than later. Felt like I wasted most of my 2016 at this scamshop.

[kellyfrost]

I'd like to get a discussion going regarding how proportionate or disproportionate one's salary is compared to their annual billing requirement. For example, if one's salary is let's say between 90-100k, how much should this firm expect their associates to bill?

I'm in the 80-90k range. Second year associate practicing ID. Major west coast city. My billing requirement is 2000, but I'll get laughed at and pretty much blacklisted if that's all I billed. The "real" requirement at this place is 2200-2300 which I'm coming to find is ridiculous since i think that amount of billables is reserved for the bigger, better Big Law firms and second, my practice group barely has enough work for me to even hit 2000. Curious to see what u guys think. Thanks.

It sounds like it is time to look for a different firm and different practice area. However, in the mean time, just keep grinding.

[Anonymous User]

Sounds like you're at Lewis Brisbois? That said, not asking for you to call them out.

I'm mid-market doing M&A/corp, starting salary of 160k (thanks to the recent bump) with billable requirement of 1950, various bonus amounts at various thresholds above 1950 - up to 30-40% of base depending on class year.

[Lacepiece23]

That salary is low for the hours, but presumably you got good experience? Assuming you went to a decent school and/or have good grades, then you could probably trade up for something better. May not breaking into biglaw litgation, but I'm sure there are some true midlaw firms that may be interested in you.

[2014]

Based on anecdata from TLS/internet and people i know, most of the big NY firms run averages of 1700-1900 across all associates and 2200-2300 when adjusting for flex-time, people who have checked out, groups that are generally slower, mid-year departures, etc. (I look forward to someone making it their crusade to pick apart that sentence)

Seems pretty absurd to impose NY average as your minimum in order to make half the salary with (probably) less than half the exit options but your hands are kind of tied if it's the best offer you have.