Lateral signing bonus Forum

[Anonymous User]

Just wondering how common is the lateral signing bonus? Especially for mid/senior level associates in corporate/transactional practices?
I've read about some people getting 6 figures even but wonder how common that is.

[LaLiLuLeLo]

Depends. From what I’ve seen it’s most common to negotiate a signing bonus that would prorate your bonus and then you’d have to hit your prorated hours at the new firm to get a prorated bonus that, together with the signing bonus, would be the same as the bonus you would’ve got had you stayed. So you’re in no worse financial position.

If it’s toward the end of the year I’ve seen full bonuses paid as a signing bonus (though you won’t get anything additional at year end).

I’ve not really seen or heard of a signing bonus just for the sake of a signing bonus.

[Anonymous User]

Depends. From what I’ve seen it’s most common to negotiate a signing bonus that would prorate your bonus and then you’d have to hit your prorated hours at the new firm to get a prorated bonus that, together with the signing bonus, would be the same as the bonus you would’ve got had you stayed. So you’re in no worse financial position.

If it’s toward the end of the year I’ve seen full bonuses paid as a signing bonus (though you won’t get anything additional at year end).

I’ve not really seen or heard of a signing bonus just for the sake of a signing bonus.

I have only seen signing bonuses of any significant amount (e.g., more than $10k) when you're being poached. The best example being Kirkland's entrance into Houston and then Dallas. They were paying about $100k to junior associates (in the 1-3 year range) and up to $250k (possibly even more) for mid-senior associates and counsel.

[LaLiLuLeLo]

Good point. A firm aggressively trying to grow like Kirkland will do it. But it’s unusual for a “normal” lateral process. Especially when a move is involved since they pay for relocation and/or bar fees.

[Anonymous User]

Depends. From what I’ve seen it’s most common to negotiate a signing bonus that would prorate your bonus and then you’d have to hit your prorated hours at the new firm to get a prorated bonus that, together with the signing bonus, would be the same as the bonus you would’ve got had you stayed. So you’re in no worse financial position.

If it’s toward the end of the year I’ve seen full bonuses paid as a signing bonus (though you won’t get anything additional at year end).

I’ve not really seen or heard of a signing bonus just for the sake of a signing bonus.

I have only seen signing bonuses of any significant amount (e.g., more than $10k) when you're being poached. The best example being Kirkland's entrance into Houston and then Dallas. They were paying about $100k to junior associates (in the 1-3 year range) and up to $250k (possibly even more) for mid-senior associates and counsel.

So this is when they are "poached" (ie first approached by the firm to consider joining them) as opposed to associates applying to Kirkland?