Yearly compensation increase rate in market-rate firms vs. non-market rate firms? Forum

[Anonymous User]

Disclaimer: Compensation numbers were just to make calculation easier; not trying to disparage anyone or imply anything.

Is there a typical pattern in compensation scheme observed throughout the country regardless of the firm's size/structure, or is anything non-market just too unpredictable and specific to individual firms?

For example, suppose compensation at a market-rate biglaw goes up by 5% every year, so that a first-year who makes $200k would make $210k next year. Now, suppose a first-year at a midlaw makes $100k. Is it reasonable to expect that a second-year would make $105k at the same firm?

[Buglaw]

Disclaimer: Compensation numbers were just to make calculation easier; not trying to disparage anyone or imply anything.

Is there a typical pattern in compensation scheme observed throughout the country regardless of the firm's size/structure, or is anything non-market just too unpredictable and specific to individual firms?

For example, suppose compensation at a market-rate biglaw goes up by 5% every year, so that a first-year who makes $200k would make $210k next year. Now, suppose a first-year at a midlaw makes $100k. Is it reasonable to expect that a second-year would make $105k at the same firm?

The markets are different. Once you get away from market, compensation is all over the board. I don't think any generalizations can be made.

[publius365]

Disclaimer: Compensation numbers were just to make calculation easier; not trying to disparage anyone or imply anything.

Is there a typical pattern in compensation scheme observed throughout the country regardless of the firm's size/structure, or is anything non-market just too unpredictable and specific to individual firms?

For example, suppose compensation at a market-rate biglaw goes up by 5% every year, so that a first-year who makes $200k would make $210k next year. Now, suppose a first-year at a midlaw makes $100k. Is it reasonable to expect that a second-year would make $105k at the same firm?

The markets are different. Once you get away from market, compensation is all over the board. I don't think any generalizations can be made.

This. It's heavily market- and firm-dependent.

[Anonymous User]

I agree that there’s no generalized answer to this, but as one data point, I started off in the Texas office of a southeastern firm with 700+ attorneys. My starting salary was $100k back when the Texas market salary was $160k. As a second year, my salary increased to $110k. I ended up lateraling to BigLaw, but my salary was going to be $115k as a third year had I stayed. This particular firm used salary ranges for class years based on performance, so not everyone made the exact same amount, but you could generally expect a $5-10k increase per year.

[Anonymous User]

I’m in secondary market like Phoenix SLC etc. and our bumps are pretty much $5k per year and that’s the most of the market too regardless of being a satellite office of a bigger Amlaw firm or regional firm.