Associate Life Survey: Slightly Smaller Bonuses?
We’ve received over a thousand responses to last Monday’s ATL / Lateral Link survey on bonuses, and so far we’ve talked about when bonuses were and will (or won’t) be paid and how your billable hours look this year.
Today, we get down to the hardest numbers of all: what do you think you’ll actually get paid?
2007 was a very good year for bonuses, with over 90% of respondents (not counting stub years) reporting a bonus even though only 70% made 2000 hours.
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Roughly half of you reported bonuses of at least $45,000. About 15% of you made $70,000 or more, and 7% of you claim to have broken six figures.
This year, well . . . not quite so much.
Details after the jump, so nervous T-10 1L can take a moment to prepare himself.
Kash posted yesterday about the New York Law Journal’s predictions of woe, and it looks like a lot of you agree.
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Almost 20% of respondents (again, not counting stub years) said they don’t expect a bonus at all this year, which is roughly in line with the percentage of you who did not expect to bill 1800 hours.
The other 80% think the glass is not empty . . . but it’s still going to be a bit less full than last year.
Less than half of you expect to receive bonuses of $30,000 or more, less than 7% of you expect to reach $70,000, and only about 3% of you think you’ll make six figures.
Results: What were your hours and bonus in 2007, and what do you expect for 2008?
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As with Monday’s billable hours post, let’s break that down by seniority, practice, and market.
Breakdown By Seniority
With respect to hours, we’ve pointed out that:
The slowdown is affecting junior and senior alike, with each class generally expecting to do a bit worse this year than the class before them did in 2007, and also a bit worse than they themselves did last year.
So too with money.
For most classes of associates, the number expecting no bonus this year is at least twice the number that actually got nothing in 2007. This is especially pronounced among the attorneys who graduated in 2000 or earlier. Over a third of these respondents reported six-figure bonuses for 2007, and only about one in 80 went without. This Christmas season, more than 15% expect to get a lump of nothing.
That said, though, about 15% are still looking forward to a six-figure sum. Will they be surprised? Members of the Class of 2001 are far less rosy about their six-figure prospects this year, and members of the Class of 2002, while expecting no net changes at the six-figure mark, have dramatically diminished hopes in the $90K range.
| Bonus | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001 | More Senior |
| No Bonus 2007 bonus 2008 bonus |
– 26.22% |
10.42% 19.29% |
13.04% 21.31% |
5% 14.05% |
5.06% 13.75% |
3.08% 18.46% |
10% 15% |
1.27% 15.58% |
| $5,000 2007 bonus 2008 bonus |
– 3.66% |
6.77% 5.58% |
8.7% 7.1% |
3.33% 4.13% |
5.06% 1.25% |
3.08% 4.62% |
2.5% 2.5% |
5.06% 3.9% |
| $10,000 2007 bonus 2008 bonus |
– 7.93% |
2.6% 5.58% |
3.8% 7.1% |
5% 4.13% |
5.06% 7.5% |
4.62% 1.54% |
0% 5% |
5.06% 7.79% |
| $15,000 2007 bonus 2008 bonus |
– 7.32% |
4.69% 6.09% |
4.89% 3.28% |
4.17% 2.48% |
3.8% 3.75% |
4.62% 6.15% |
2.5% 5% |
5.06% 2.6% |
| $20,000 2007 bonus 2008 bonus |
– 7.32% |
7.81% 5.08% |
3.26% 3.83% |
4.17% 4.13% |
3.8% 6.25% |
3.08% 6.15% |
7.5% 7.5% |
7.59% 5.19% |
| $25,000 2007 bonus 2008 bonus |
– 8.54% |
3.13% 5.08% |
2.72% 3.83% |
6.67% 5.79% |
2.53% 3.75% |
4.62% 3.08% |
0% 2.5% |
2.53% 3.9% |
| $30,000 2007 bonus 2008 bonus |
– 6.1% |
5.21% 8.63% |
2.17% 2.19% |
3.33% 13.22% |
2.53% 6.25% |
6.15% 1.54% |
2.5% 5% |
6.33% 3.9% |
| $35,000 2007 bonus 2008 bonus |
– 23.78% |
17.71% 9.14% |
6.52% 4.92% |
3.33% 3.31% |
3.8%
1.25% |
7.69% 6.15% |
7.5% 5% |
3.8% 5.19% |
| $40,000 2007 bonus 2008 bonus |
– 3.05% |
4.17% 16.75% |
7.61% 12.57% |
8.33% 9.09% |
5.06% 8.75% |
3.08% 6.15% |
5% 5% |
1.27% 2.6% |
| $45,000 2007 bonus 2008 bonus |
– 3.66% |
29.69% 10.15% |
6.52% 14.21% |
9.17% 7.44% |
6.33% 7.5% |
0% 4.62% |
2.5% 2.5% |
2.53% 3.9% |
| $50,000 2007 bonus 2008 bonus |
– 0.61% |
1.56% 3.55% |
4.35% 5.46% |
6.67% 17.36% |
3.8% 17.5% |
6.15% 9.23% |
2.5% 20% |
1.27% 6.49% |
| $55,000 2007 bonus 2008 bonus |
– 0.61% |
2.6% 0.51% |
25% 4.92% |
5.83% 1.65% |
2.53% 5% |
4.62% 1.54% |
7.5% 7.5% |
3.8% 3.9% |
| $60,000 2007 bonus 2008 bonus |
– 0% |
1.04% 1.52% |
4.89% 3.28% |
2.5% 4.96% |
1.27% 5% |
7.69% 12.31% |
2.5% 0% |
1.27% 2.6% |
| $65,000 2007 bonus 2008 bonus |
– 0.61% |
0% 0% |
2.17% 0.55% |
25% 1.65% |
6.33% 3.75% |
3.08% 1.54% |
7.5% 2.5% |
7.59% 7.79% |
| $70,000 2007 bonus 2008 bonus |
– 0% |
0.52% 0.51% |
1.63% 1.09% |
1.67% 0.83% |
3.8% 0% |
1.54% 3.08% |
5% 0% |
2.53% 2.6% |
| $75,000 2007 bonus 2008 bonus |
– 0% |
0% 0.51% |
1.09% 1.64% |
1.67% 0.83% |
0% 1.25% |
1.54% 0% |
2.5% 5% |
2.53% 2.6% |
| $80,000 2007 bonus 2008 bonus |
– 0% |
0% 0% |
0% 0% |
0% 1.65% |
16.46% 0% |
1.54% 3.08% |
5% 0% |
2.53% 2.6% |
| $85,000 2007 bonus 2008 bonus |
– 0% |
0% 0.51% |
0% 0% |
1.67% 2.48% |
8.86% 0% |
0% 0% |
2.5% 2.5% |
3.8% 1.3% |
| $90,000 2007 bonus 2008 bonus |
– 0% |
0.52% 0% |
0% 1.09% |
0% 0% |
2.53% 1.25% |
4.62% 0% |
0% 2.5% |
1.27% 1.3% |
| $95,000 2007 bonus 2008 bonus |
– 0% |
0% 0% |
0.54% 0.55% |
0% 0% |
1.27% 1.25% |
16.92% 0% |
0% 0% |
0% 0% |
| $100000+ 2007 bonus 2008 bonus |
– 0.61% |
0.52% 1.52% |
1.09% 1.09% |
1.67% 0.83% |
7.59% 5% |
10.77% 10.77% |
20% 2.5% |
34.18% 15.58% |
Bear in mind that the numbers above, and below, exclude stub years (e.g., for Class of 2007 associates), and that the numbers in red are only predictions. Actual results (e.g., for Class of 2007 associates with high expectations) may vary.
Breakdown By Practice
Real estate lawyers are characteristically gloomy, with over a third expecting no bonus at all this year. More than 20% of corporate associates share the sentiment.
Curiously, bankruptcy attorneys are also worried, with most respondents reporting a weak 2007 compared to their peers, and many expecting more of the same. This is a bit surprising, as these same associates are expecting a decent — or even indecent — upswing in their billable hours for the year.
Patent and tax associates are a mixed bag, with both groups actually more likely to expect six-figure bonuses this year than they received back in reality last year, but with a pretty hefty upswing in the number of associates expecting no bonus, too. Clearly, there’s a big difference from one firm to the next.
| Bonus | Bankruptcy | Corporate | Employment | Litigation | Patent | Real Estate | Tax |
| No Bonus 2007 bonus 2008 bonus |
15.79% 25.93% |
6.13% 20.91% |
0% 9.52% |
7.64% 14.83% |
8.57% 16% |
14.71% 37.5% |
2.7% 12.77% |
| $5,000 2007 bonus 2008 bonus |
21.05% 0% |
3.07% 4.55% |
14.29% 23.81% |
4.51% 4.65% |
4.29% 4% |
17.65% 5% |
5.41% 4.26% |
| $10,000 2007 bonus 2008 bonus |
0% 11.11% |
2.45% 3.64% |
14.29% 9.52% |
3.82% 5.81% |
5.71% 2.67% |
0% 7.5% |
5.41% 4.26% |
| $15,000 2007 bonus 2008 bonus |
0% 3.7% |
3.68% 5.91% |
19.05% 9.52% |
5.9% 4.65% |
2.86% 2.67% |
0% 2.5% |
2.7% 4.26% |
| $20,000 2007 bonus 2008 bonus |
5.26% 7.41% |
3.68% 3.18% |
14.29% 9.52% |
5.21% 5.81% |
7.14% 4% |
5.88% 10% |
2.7% 6.38% |
| $25,000 2007 bonus 2008 bonus |
5.26% 0% |
3.68% 4.55% |
0% 4.76% |
4.51% 6.98% |
2.86% 0% |
0% 2.5% |
5.41% 6.38% |
| $30,000 2007 bonus 2008 bonus |
10.53% 7.41% |
4.91% 7.73% |
4.76% 0% |
2.43% 5.23% |
2.86% 8% |
0% 7.5% |
2.7% 4.26% |
| $35,000 2007 bonus 2008 bonus |
10.53% 11.11% |
10.43% 9.09% |
0% 4.76% |
8.33% 9.59% |
7.14% 6.67% |
11.76% 5% |
8.11% 12.77% |
| $40,000 2007 bonus 2008 bonus |
0% 11.11% |
4.91% 11.36% |
0% 14.29% |
6.25% 8.43% |
7.14% 10.67% |
5.88% 7.5% |
5.41% 10.64% |
| $45,000 2007 bonus 2008 bonus |
10.53% 3.7% |
11.66% 8.18% |
14.29% 0% |
10.07% 9.88% |
7.14% 9.33% |
11.76% 0% |
16.22% 12.77% |
| $50,000 2007 bonus 2008 bonus |
0% 3.7% |
1.84% 8.64% |
4.76% 4.76% |
4.17% 7.85% |
5.71% 10.67% |
5.88% 7.5% |
0% 6.38% |
| $55,000 2007 bonus 2008 bonus |
15.79% 3.7% |
14.11% 2.27% |
0% 0% |
7.99% 1.45% |
11.43% 5.33% |
0% 2.5% |
16.22% 2.13% |
| $60,000 2007 bonus 2008 bonus |
0% 3.7% |
2.45% 1.36% |
4.76% 4.76% |
3.13% 4.36% |
4.29% 2.67% |
2.94% 0% |
2.7% 6.38% |
| $65,000 2007 bonus 2008 bonus |
0% 0% |
5.52% 1.36% |
0% 4.76% |
8.33% 2.33% |
5.71% 2.67% |
5.88% 0% |
5.41% 0% |
| $70,000 2007 bonus 2008 bonus |
0% 0% |
1.23% 0.91% |
0% 0% |
1.39% 1.74% |
5.71% 0% |
0% 0% |
2.7% 0% |
| $75,000 2007 bonus 2008 bonus |
0% 3.7% |
1.23% 1.36% |
0% 0% |
1.74% 0.87% |
0% 2.67% |
0% 0% |
0% 0% |
| $80,000 2007 bonus 2008 bonus |
0% 0% |
3.07% 0.45% |
4.76% 0% |
2.08% 0.87% |
1.43% 0% |
2.94% 2.5% |
2.7% 0% |
| $85,000 2007 bonus 2008 bonus |
0% 0% |
0% 0.45% |
0% 0% |
1.74% 1.16% |
2.86% 0% |
2.94% 0% |
2.7% 2.13% |
| $90,000 2007 bonus 2008 bonus |
0% 0% |
0.61% 0.91% |
0% 0% |
1.39% 0.58% |
0% 1.33% |
0% 0% |
2.7% 0% |
| $95,000 2007 bonus 2008 bonus |
5.26% 0% |
1.23% 0.45% |
0% 0% |
2.08% 0% |
1.43% 1.33% |
0% 0% |
5.41% 0% |
| $100000+ 2007 bonus 2008 bonus |
0% 3.7% |
12.88% 2.73% |
4.76% 0% |
6.6% 2.62% |
5.71% 10.67% |
11.76% 2.5% |
2.7% 4.26% |
Breakdown By Market
Don’t mess with Texas. There’s probably just no money in it, according to 25% of the respondents in Austin, Dallas and Houston. That said, though, most of the associates at the top of the Texan market expect to stay there.
In contrast, less than a third of the New Yorkers who made $100K+ in bonuses for 2007 expect to repeat the experience this year, while the number expecting no bonus at all has surged to 18%, even though less than 4% of these respondents failed to receive a bonus last year.
Boston, LA, and Chicago (where 2007 numbers at the six-figure mark are probably inflated by a disproportionate response from Kirklanders and Skaddenites), are in similar shape.
| Bonus | Bay Area | Boston | Chicago | DC | LA | NY | Texas |
| No Bonus 2007 bonus 2008 bonus |
2% 14.04% |
6.25% 16.67% |
16.07% 19.72% |
7.35% 13.77% |
12.5% 20.83% |
3.79% 17.98% |
9.76% 25% |
| $5,000 2007 bonus 2008 bonus |
4% 5.26% |
6.25% 2.78% |
3.57% 4.23% |
3.68% 4.79% |
0% 4.17% |
3.1% 1.91% |
7.32% 10.42% |
| $10,000 2007 bonus 2008 bonus |
0% 1.75% |
6.25% 5.56% |
1.79% 4.23% |
3.68% 10.78% |
5% 2.08% |
2.07% 4.63% |
12.2% 4.17% |
| $15,000 2007 bonus 2008 bonus |
4% 10.53% |
6.25% 0% |
5.36% 5.63% |
4.41% 4.79% |
5% 4.17% |
1.03% 2.72% |
12.2% 6.25% |
| $20,000 2007 bonus 2008 bonus |
10% 7.02% |
0% 2.78% |
10.71% 8.45% |
8.09% 5.39% |
12.5% 4.17% |
1.38% 4.36% |
2.44% 4.17% |
| $25,000 2007 bonus 2008 bonus |
4% 3.51% |
0% 5.56% |
3.57% 5.63% |
5.88% 5.99% |
5% 10.42% |
1.03% 3.54% |
12.2% 4.17% |
| $30,000 2007 bonus 2008 bonus |
10% 7.02% |
12.5% 13.89% |
5.36% 7.04% |
4.41% 5.99% |
0% 8.33% |
2.07% 5.99% |
4.88% 2.08% |
| $35,000 2007 bonus 2008 bonus |
8% 7.02% |
6.25% 11.11% |
8.93% 11.27% |
11.03% 10.78% |
10% 4.17% |
8.97% 9.81% |
0% 4.17% |
| $40,000 2007 bonus 2008 bonus |
8% 14.04% |
15.63% 11.11% |
1.79% 0% d> | 4.41% 5.99% |
10% 10.42% |
5.17% 14.17% |
4.88% 12.5% |
| $45,000 2007 bonus 2008 bonus |
12% 7.02% |
3.13% 11.11% |
7.14% 2.82% |
8.09% 7.78% |
12.5% 10.42% |
18.28% 10.9% |
2.44% 4.17% |
| $50,000 2007 bonus 2008 bonus |
4% 12.28% |
3.13% 5.56% |
5.36% 5.63% |
3.68% 5.99% |
0% 14.58% |
4.14% 9.81% |
4.88% 4.17% |
| $55,000 2007 bonus 2008 bonus |
10% 1.75% |
12.5% 5.56% |
3.57% 1.41% |
5.15% 2.99% |
5% 0% |
14.83% 3.54% |
4.88% 2.08% |
| $60,000 2007 bonus 2008 bonus |
2% 3.51% |
3.13% 2.78% |
5.36% 5.63% |
2.94% 4.19% |
7.5% 0% |
2.76% 3% |
2.44% 4.17% |
| $65,000 2007 bonus 2008 bonus |
6% 0% |
0% 0% |
1.79% 2.82% |
7.35% 1.2% |
5% 4.17% |
10.34% 1.63% |
2.44% 2.08% |
| $70,000 2007 bonus 2008 bonus |
2% 0% |
6.25% 0% |
0% 1.41% |
2.21% 1.8% |
2.5% 0% |
1.38% 1.09% |
2.44% 0% |
| $75,000 2007 bonus 2008 bonus |
4% 1.75% |
3.13% 2.78% |
1.79% 2.82% |
2.21% 1.2% |
0% 0% |
0% 0.54% |
2.44% 2.08% |
| $80,000 2007 bonus 2008 bonus |
6% 0% |
3.13% 0% |
0% 1.41% |
3.68% 0.6% |
0% 2.08% |
3.1% 0.82% |
0% 0% |
| $85,000 2007 bonus 2008 bonus |
2% 0% |
0% 0% |
3.57% 4.23% |
2.21% 0.6% |
2.5% 0% |
2.07% 0.54% |
0% 0% |
| $90,000 2007 bonus 2008 bonus |
0% 0% |
0% 2.78% |
0% 0% |
0.74% 0.6% |
2.5% 0% |
1.38% 0.27% |
0% 2.08% |
| $95,000 2007 bonus 2008 bonus |
0% 0% |
0% 0% |
0% 0% |
1.47% 0.6% |
0% 0% |
3.45% 0.27% |
0% 0% |
| $100000+ 2007 bonus 2008 bonus |
2% 3.51% |
6.25% 0% |
12.5% 5.63% |
7.35% 4.19% |
2.5% 0% |
9.31% 2.45% |
7.32% 6.25% |
Again, the numbers above just show what people got in 2007 and what they expect for 2008. But what would they accept if it meant avoiding layoffs at their firms?
Stay tuned for the answer on Monday.
—
Justin Bernold is a Director at Lateral Link, the sponsor of this Associate Life Survey.
