Wall Street is an industry known for its competitive work environment, with most of the highest-paid employees working in banking positions within investment and commercial banks. The compensation schemes can vary depending on the job and experience level, as well as the firm itself, but there are some general trends in what Wall Street bankers are paid at different organizations, as well as how their compensation compares to other industries and across different parts of the country.
The media loves to tell the tales of Wall Street’s most famous dealmakers and the incredible amounts of money they make through their deals. This can lead the average person to believe that the average Wall Street salary includes huge bonuses and salaries to match, but this isn’t always the case. For instance, the Payscale website ranks financial analysts as having one of the lowest starting salaries on Wall Street, at $54,500 per year or $26 per hour in 2013.
The news about bankers bonuses has been all over the newspapers, and with the time, the figures are getting bigger and bigger. Of course, the average American can’t imagine someone making $3 million or more every year, because it would mean working almost an entire century to get that much money. So what exactly do Wall Street guys make? How much can you make if you’re just starting as an investment banker? What about if you’re higher ranked? And what is considered normal these days?
The salaries you need to know
If you want to work on Wall Street, you need to know that the average salary is about $340,000 per year. But, the top bankers make much more than that. In fact, the top 1% of earners make an average of $1.5 million per year. And, the top 0.1% make an average of $5 million per year. So, if you want to be a top earner on Wall Street, expect to bring home a hefty paycheck.
Financial terms and career advice
It’s no secret that bankers on Wall Street make a lot of money. In fact, the average salary for a managing director at a major bank is about $350,000. But it doesn’t stop there. These bankers also receive large bonuses, which can sometimes be equal to or even greater than their salaries. So how do they make so much money? Well, it all starts with getting a job on Wall Street.
What it takes to be successful in finance
Wall Street is the financial capital of the world, so it’s no surprise that the salaries of its bankers are among the highest in the world. But what does it take to be successful on Wall Street? First and foremost, you need to be intelligent and have a head for numbers. Secondly, you need to be able to handle stress well. Thirdly, you need to have good people skills, as many deals are done on a personal level. Fourthly, you must be ambitious and always looking for new opportunities.
Advice from people who were there
In the world of finance, it pays to be at the top. The guys (and they are mostly guys) who work on Wall Street can make some serious coin. If you’re looking to get in on the action, here’s some advice from people who were there.
1. Do your homework: Wall Street is a complex place, and you need to know what you’re doing before you start making deals. Read up on the history of markets and learn about how money works.
2. Find your niche: The reality is that unless you’re one of those rare cases where family ties land you a position, chances are slim that an investment bank will hire you off the street with no experience. Rather than trying to do everything, focus on one area where you have talent or passion: accounting, marketing, sales, compliance or something else entirely. And then take that niche and run with it-build your skills as much as possible so that when opportunities arise within that specific area, they’ll recognize your value right away.3.