Pe offer is 125 salary 125 projected bonus - should I think of the bonus as more or less guaranteed, or truly discretionary and variable? 5 associate hires total, mm fund

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Only guarantees are death and taxes!! If it is a bonus it is always discretionary! If you assume it guaranteed in your financial planning - be mindful of the risk. I wouldn’t count on it always and plan my outflows based on the base.

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Discretionary, in terms of contract law, means just that: it could be zero. So I wouldn’t count on it. Especially this year.

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Left for PE. You can pretty much assume that's what your bonus will be in MM. I was a little uncomfortable as well when I left but bar a major fuckup that's what you'll get.

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Find out what the bonus is based on. Is it your performance or company performance. You have a lot more control over one of those things.

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That was the first year associate offer for PE mega funds about 10 years ago, second year was 175/175. Not sure how mm was back then or how it translates now, but it’s a data point for you.

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^ OW1 is right. Even when you get the bonus, there often seems to be substantially more taken out in taxes than expected. I learned this the hard way with my ZS signing bonus (and first YE bonus)

I think bonuses being taxed more is the #1 most common misconception

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congrats. Is it an offer for the deals or the ops team

nice. Why’s the interview process like? Did you had to do a lot of networking to land the role

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Take it!

You should think of it as your baseline expectation. Btw - is it CB?

share fund and refer plz

The 125k bonus should be your expectation / baseline assumption. It’s standard for first year PE associates. There is downside risk but that’s likely a low probability scenario.

If you don’t mind me asking, what COL are you in and how much YOE? Trying to figure out what I should expect.

Offer in Bay Area, I will have 2 yoe when starting

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