Wall Street cash bonuses hit highest since 2008 crash
- 10 years ago
The average bonus for Wall Street bankers jumped 15 percent last year to hit the highest level since 2007 – just before the financial crisis.
The figures were estimated by the New York State financial comptroller’s office.
The total cash bonus pool swelled to $26.7 billion (19.15 billion euros).
That made the average cash bonus – on top of wages – $164,530 (118,000 euros).
But the true figure is likely higher as that calculation does not include stock options or other forms of deferred compensation.
The increased payouts came as Wall Street posted a fifth consecutive year of profits after record losses during the crisis.
The comptroller’s office compiles estimates on Wall Street bonuses because of their importance to state and city tax revenues.
The report estimates that New York City gained $3.8 billion (2.72 billion euros) in taxes from the securities industry in fiscal year 2013, 27 percent more than in the previous year and the second highest level on record.
It also estimates that city tax revenues could be $100 million (71.72 million euros) higher than forecast in the city’s budget because the budget assumed a five percent decline in the bonus pool.
The securities industry accounted for 8.5 percent of the city’s tax revenues during the 2013 fiscal year, below its peak of 11 percent prior to the 2007-2009 recession.
New York state collected $10.3 billion (7.4 billion euros) in taxes from Wall Street during the financial year, accounting for about 16 percent of all state tax revenues. That compares to 20 percent before the recession.
The figures were estimated by the New York State financial comptroller’s office.
The total cash bonus pool swelled to $26.7 billion (19.15 billion euros).
That made the average cash bonus – on top of wages – $164,530 (118,000 euros).
But the true figure is likely higher as that calculation does not include stock options or other forms of deferred compensation.
The increased payouts came as Wall Street posted a fifth consecutive year of profits after record losses during the crisis.
The comptroller’s office compiles estimates on Wall Street bonuses because of their importance to state and city tax revenues.
The report estimates that New York City gained $3.8 billion (2.72 billion euros) in taxes from the securities industry in fiscal year 2013, 27 percent more than in the previous year and the second highest level on record.
It also estimates that city tax revenues could be $100 million (71.72 million euros) higher than forecast in the city’s budget because the budget assumed a five percent decline in the bonus pool.
The securities industry accounted for 8.5 percent of the city’s tax revenues during the 2013 fiscal year, below its peak of 11 percent prior to the 2007-2009 recession.
New York state collected $10.3 billion (7.4 billion euros) in taxes from Wall Street during the financial year, accounting for about 16 percent of all state tax revenues. That compares to 20 percent before the recession.