It is the most wonderful time of year on Wall Street.
That's because it's bonus season!
We spoke with a veteran bank analyst and hedge fund portfolio manager, and he had three rules for young Wall Streeters going through the bonus process.
We've included them below. Take notes.
**If you have any insights into bonus season (comp numbers, expected dates, tips, advice, tales of success, excess, or horror stories) feel free to send an email to jlaroche@businessinsider.com. We'll be discreet!
1. Clearly outline your goals.
"There will definitely be people that kiss up to the managing director. That's part of Wall Street," the person said.
But there's something that works even better than that — setting goals with your boss.
At the beginning of the year, the boss will go over your progress and goals going into the next year.
"Let's say I'm an executive director and I say that 'my goal is to make managing director.' My boss will say, 'Look that's a big ambitious goal, but here's what I'm going to need to see from you in order to fight for you to be a managing director.'"
During this conversation, you'll want to clearly state your goals. Those goals are usually around titles, not money. However, you can suggest that you weren't happy with your previous bonus number and that you want to work really hard to reach a certain level next year.
"By the end of the year, your boss can refer to the goals that you set. At the very least, the boss can say, 'We know you wanted a bigger bonus, but look at the goals you gave me, and you didn't hit those goals.'"
2. Put your name on game-changing projects.
"Young people suffer with managing directors getting credit for the project that young person really did. MDs know this. You have to have your name on that successful project. The whole thought of 'I worked I hard, I hope people noticed' doesn't work. It's not that easy. You need to strategically work on projects that add value to the firm and are impactful."
The person said that either your boss will put you on that project or you can raise your hand when an opportunity arises.
"Sell-side doesn't pay for the current year. It's based off your future potential to the firm. If they think you will be a rock star and you have your name on the right projects, you're the person they're going to over pay. That's who you want to be."
3. Don't take vacation right before the bonus.
This might sound pretty simple, but it is surprisingly important.
"If you take a vacation, take it after bonus season. Don't make the mistake of taking a two-week vacation right before the bonus."
See the rest of the story at Business Insider