Nonequity partners at top firms seem to make significantly more than equity partners at lower amlaw firms, yet we see a lot of nonequity partners leave top firms to go to these firms. Why? I know it’s not all about money, but why make your life harder for less money?

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Bigger fish in a smaller pond.

likesmart

How do you know they’re making less money? You can’t just assume that based on average EP / NEP comp. In a lot of these instances, the person moving down the rankings is doing so for a lot of equity such that they do make more.

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Oh I thought you asked why someone went from NEP at top firm to NEP at lower ranked firms…if it’s NEP to EP that’s no brainer to me. Better opportunities to develop your own business, big fish in a smaller pond, potential to earn more in a couple years etc. especially for those lower ranked firms that are lockstep/modified lockstep, once you’re an EP it only takes a couple years to earn WAY more than an NEP at a top firm. I have a couple of friends who went through the same route.

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Sometimes geographical/personal reasons, I would imagine. Also, status?

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