Goldman earmarks compensation of $542,000 per employee

[Gone4Good]

Sept. 12 (Bloomberg) -- Goldman Sachs Group Inc., Wall Street's most profitable firm, said it earmarked as much as $542,000 in pay per employee for the first three fiscal quarters, already beating the total for the whole of last year.    Goldman set aside $13.9 billion in compensation for its 25,647 employees, compared with $11.7 billion for 22,425 employees at the end of last year.

Merrill earmarked $260,000 per employee for just the first nine months of 2006.

I guess what we need are some more of these "low paying service jobs"

PS I know the median salary is a lot lower than the average

 

[ats5g]

From newyorkmetro.com:

Please, Sir, I Want Some More: How Goldman Sachs is carving up its $11 billion money pie.

It's nice to know what the devil is paying his minions.

- Alec

 

[Spanky]

Merrill earmarked $260,000 per employee for just the first nine months of 2006.

I guess what we need are some more of these "low paying service jobs"

PS I know the median salary is a lot lower than the average

Keep in mind that they are providing a very, very valuable service. They deserve every penny and more ... :

 

[dmpi]

GS made all that money going head to head against hedge funds. Its all a zero sum game... someone going to come out hurting bigtime.

 

[saluki9]

I guess my only comment would be good for them!

I'm always happy to hear about somebody else doing well

 

[Dawg52]

I wonder if Brewer is making $500k per year? 

 

[brewer12345]

I wonder if Brewer is making $500k per year? 

I wish. No clue what it will be until late December. Lots of trading days between now and then...

 

[Gone4Good]

Keep in mind that they are providing a very, very valuable service. They deserve every penny and more ... :

In many instances someone (and usually a sophisticated someone) is paying them for those services (e.g. investment banking, financing, primary and secondary market execution, etc.). Those folks must think the service is worth the fee.

 

[astromeria]

My advice: work 5-10 years at Goldman, and retire! (or become Treasury Sec'y, of you prefer)

 

[Texas Proud]

In many instances someone (and usually a sophisticated someone) is paying them for those services (e.g. investment banking, financing, primary and secondary market execution, etc.).  Those folks must think the service is worth the fee.

Probably not... it is just there are not that many players that can do mulit-billion dollar transactions... and their fees are similar

And then when you look at their fee based on the total transaction cost it is 'reasonable'...

kind of like the RE agent.. you think they are paid way to much if you house sells in a few days.. .but you can not get it any cheaper with anybody else..

 

[Gone4Good]

Probably not... it is just there are not that many players that can do mulit-billion dollar transactions

Isn't the definition of "value added" when you can do something that few others can?

As far as the realtor’s fee, you need not use one to sell your house. If you are paying the fee you must think the service is worth the cost. Otherwise you would go the "For Sale by Owner" route.

 

[Texas Proud]

Isn't the definition of "value added" when you can do something that few others can?

As far as the realtor’s fee, you need not use one to sell your house. If you are paying the fee you must think the service is worth the cost. Otherwise you would go the "For Sale by Owner" route.

Yes.. it is 'value added', but at a high cost.. and as I said the ones that can charge about the same fee.. just like RE agents..

AND, if you want to, you can issue your debt or stock without a lead broker taking their cut.. it is that no company wants to do it as it is just a cost of business.. and it is not thier money, but the stockholders and who cares about them... and also like I said.. it is a small amount of the whole transaction (sometimes as low as 2%).. but 2% of a billion here and there add up..

 

[Craig]

If I was starting my career now, I'd go to work with a private equity group (PEG; venture capitalists) ... very lucrative, provides a real service, nice equity upside, learn a great deal about buying, selling and to some extent running businesses. Also provides capital to deserving smaller companies. Interesting career.

 

[saluki9]

If I was starting my career now, I'd go to work with a private equity group (PEG; venture capitalists) ... very lucrative, provides a real service, nice equity upside, learn a great deal about buying, selling and to some extent running businesses. Also provides capital to deserving smaller companies. Interesting career.

The career track for that field for most applicants starts with 3-5 years in I Banking in order to learn the deal making process

 

[Nords]

If I was starting my career now, I'd go to work with a private equity group (PEG; venture capitalists) ... very lucrative, provides a real service, nice equity upside, learn a great deal about buying, selling and to some extent running businesses.  Also provides capital to deserving smaller companies.  Interesting career.

Sounds like the Chinese curse "May you live in interesting times."

Too many people confuse outrageously high salaries with continuity of employment. However the "unemployment insurance" is built right into the paychecks...