Partner Question: If your top line monthly distribution is $100k, how much are you actually earning after taxes, medical, 401k etc.? I’d imagine the big 4 firms have fairly complicated state tax structures but curious if there’s a benchmark you use to think about it

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I am earning 100K

Some of it just gets taken from me

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Umm my top line monthly is not even half of that

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For the 12 months of the fiscal year, we distribute between 70-75% of a partner’s anticipated total income. Then in early October we get the remainder based on our final results through end of June. Depending upon which state you live in, effective tax rate all in is usually going to be in the high 30s or low 40s.

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Few Big 4 partners are drawing $100k a month. It’s complicated. It’s a deferred comp model.

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Fair point and I recognize that $100k monthly draw would be above the average for Big 4 partners. I was using that figure for ease of calculation but it’s sounds like your share of income from a tax perspective reasonably aligns to cash withdrawals

Not at a b4, but my take-home is roughly 60% of my gross pay with gross generally speaking in the ballpark of your figure here.

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What firm are you at ?

Around 40%

Based on my calculations, still a shit load

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