Biglaw partner net worth?

[Anonymous]

Depending on the equity buy-in amount and the partner draw schedules, the first couple years as an equity partner can present some short-term cash flow challenges. My firm allowed buy-ins over 2 years taken from your draw. Your draw is roughly half of your base compensation--the remainder of your base is at-risk pending on how the firm is doing against its budget. All the while, your living expenses and estimated tax bill don't stop.

[Anonymous]

I've known some that are really big spenders, which is the problem. Less so here but in NYC where they are trying to keep up with the finance crowd or SF where they are trying to keep up with the tech crowd.

[Anonymous]

Anonymous wrote:My husband is a junior equity partner (less than five years). He makes about 900k/year with some fluctuation. Our net worth is only ~ 1M because to get here between the two of us we had six figures each to fund law school (and for him a small slice for undergrad). I just paid my loans off this year. That said a lot of equity partners come from money so have crazy net worths. Not sure why they still work. We are still relatively young, not quite 40, so hoping in time we can build up more of a nest egg.

Are you both attorneys?

[Anonymous]

Anonymous wrote:Depending on the equity buy-in amount and the partner draw schedules, the first couple years as an equity partner can present some short-term cash flow challenges. My firm allowed buy-ins over 2 years taken from your draw. Your draw is roughly half of your base compensation--the remainder of your base is at-risk pending on how the firm is doing against its budget. All the while, your living expenses and estimated tax bill don't stop.

So you take out a loan.

[Anonymous]

Lots of variables, but Chat says it’s typically $10 million by 50 and $20 million by 60.

[Anonymous]

Ha! My spouse is a non-equity partner who went to law school late, and the initial hiring firm merged in 2008, and then the second firm cut a ton of jobs. 50's now are Gen X'ers who got kind of screwed with the dot com bust in 2000 and then the recession in 2008. We're still rebuilding tbh! Net worth just over $1M and our kids are in high school so lots of college left to pay for. Clearly don't cry us a river, but we're definitely not rolling in it. Not sure if equity will be in the cards ever or not. Part of me hopes so, but... mo money mo problems.

[Anonymous]

Anonymous wrote:Ha! My spouse is a non-equity partner who went to law school late, and the initial hiring firm merged in 2008, and then the second firm cut a ton of jobs. 50's now are Gen X'ers who got kind of screwed with the dot com bust in 2000 and then the recession in 2008. We're still rebuilding tbh! Net worth just over $1M and our kids are in high school so lots of college left to pay for. Clearly don't cry us a river, but we're definitely not rolling in it. Not sure if equity will be in the cards ever or not. Part of me hopes so, but... mo money mo problems.

Cool story bro. Not relevant to OP’s question though.

[Anonymous]

Anonymous wrote:

Anonymous wrote:My husband is a junior equity partner (less than five years). He makes about 900k/year with some fluctuation. Our net worth is only ~ 1M because to get here between the two of us we had six figures each to fund law school (and for him a small slice for undergrad). I just paid my loans off this year. That said a lot of equity partners come from money so have crazy net worths. Not sure why they still work. We are still relatively young, not quite 40, so hoping in time we can build up more of a nest egg.

Are you both attorneys?

Yes. I don’t work at a firm so don’t make nearly as much.

[Anonymous]

Anonymous wrote:My husband is a junior equity partner (less than five years). He makes about 900k/year with some fluctuation. Our net worth is only ~ 1M because to get here between the two of us we had six figures each to fund law school (and for him a small slice for undergrad). I just paid my loans off this year. That said a lot of equity partners come from money so have crazy net worths. Not sure why they still work. We are still relatively young, not quite 40, so hoping in time we can build up more of a nest egg.

Do you guys have an expensive house and send your kids to private school / expensive vacations? Just a bit surprised at your net worth. My non lawyer DH (who makes less than 200k and started at 45k immediately post college) and I reached 1M by the time I was a 6th year associate (admittedly I only had 5-figure loans due to a law school scholarship).

[Anonymous]

Anonymous wrote:

Anonymous wrote:I think the other big law compensation thread is a lot closer than these outliers making $4m for decades.

Didn't the other one say equity partners were making $3-4 million as only 4th year partners??? Or are you referring to even a different thread than that?

No, it did not say that.

https://www.dcurbanmom.com/jforum/posts/list/1131461.page

[Anonymous]

Anonymous wrote:I've known some that are really big spenders, which is the problem. Less so here but in NYC where they are trying to keep up with the finance crowd or SF where they are trying to keep up with the tech crowd.

Yup. Just had dinner with a couple. He’s a partner at one of the biggest NYC firms. She’s a SAHM but former lawyer. They live on Park Ave, put 3 kids through private school, including boarding schools and all three through private colleges. They just bought home on John’s Island Fla and a home in the Hamptons. He is 54 and not retiring anytime soon.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Depending on the equity buy-in amount and the partner draw schedules, the first couple years as an equity partner can present some short-term cash flow challenges. My firm allowed buy-ins over 2 years taken from your draw. Your draw is roughly half of your base compensation--the remainder of your base is at-risk pending on how the firm is doing against its budget. All the while, your living expenses and estimated tax bill don't stop.

So you take out a loan.

An interest-free loan from my firm is a better deal than taking out a loan or tapping a HELOC. Again, it's just temporary cashflow issue. I have colleagues that had to use their HELOCs to pay estimated taxes and then paid it off immediately after comp season.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think the other big law compensation thread is a lot closer than these outliers making $4m for decades.

Didn't the other one say equity partners were making $3-4 million as only 4th year partners??? Or are you referring to even a different thread than that?

No, it did not say that.

https://www.dcurbanmom.com/jforum/posts/list/1131461.page

No need to be a jerk. All you had to say was you were referring to a different (older) thread. I was talking about the one from a month ago, not one over two years ago. And yes, the one I was referring to did in fact say that:

https://www.dcurbanmom.com/jforum/posts/list/1279288.page#30267059

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think the other big law compensation thread is a lot closer than these outliers making $4m for decades.

Didn't the other one say equity partners were making $3-4 million as only 4th year partners??? Or are you referring to even a different thread than that?

No, it did not say that.

https://www.dcurbanmom.com/jforum/posts/list/1131461.page

No need to be a jerk. All you had to say was you were referring to a different (older) thread. I was talking about the one from a month ago, not one over two years ago. And yes, the one I was referring to did in fact say that:

https://www.dcurbanmom.com/jforum/posts/list/1279288.page#30267059

I’m not sure how my comment was jerky, and while it was started two years ago it last been recently commented on because it was hanging around the tip of this forum, which is how I saw it.

However, if you want to hold on to your position that all big law it’s raking in $4M a year, go for it.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I think the other big law compensation thread is a lot closer than these outliers making $4m for decades.

Didn't the other one say equity partners were making $3-4 million as only 4th year partners??? Or are you referring to even a different thread than that?

No, it did not say that.

https://www.dcurbanmom.com/jforum/posts/list/1131461.page

No need to be a jerk. All you had to say was you were referring to a different (older) thread. I was talking about the one from a month ago, not one over two years ago. And yes, the one I was referring to did in fact say that:

https://www.dcurbanmom.com/jforum/posts/list/1279288.page#30267059

I’m not sure how my comment was jerky, and while it was started two years ago it last been recently commented on because it was hanging around the tip of this forum, which is how I saw it.

However, if you want to hold on to your position that all big law it’s raking in $4M a year, go for it.

I don't hold that position at all. In fact, I specifically asked you if you were referring to another thread so I could get some other perspectives because the thread I saw was consistent with some of the comments here, which was surprising. Not sure why you're being so rude, but I'll chalk it up to a bad day. Have a good night.