A "Celestial Sum"?
WSJ story:
Merrill Pays
So what exactly is a "celetial sum"? Apparently it comes to about $50 million for a year's work (if your name happens to be Thomas Montag). Work? What exactly does someone do for $50 million?
We'll leave that for another time. For now, here's how a "celestial" Wall Street trader comes into $50 million. You can check out his employment contract. It makes interesting reading. Here's one section:
So he gets a guaranteed bonus of $39,400,000. Not bad.
BTW, the difference between the $40 million specified in these clauses and $50 million has to do with guarantees that provide cash compensation to Mr. Montag so that he doesn't lose any money he had accumulated at he previous employer, Goldman Sachs.
Voila! A $50 million guarantee.
You can find the entire compensation agreement at:
http://sec.gov/Archives/edgar/data/65100/000095012308005083/y57271exv10w1.htm
Study it carefully. This way you too can negotiate a good deal when you get your next job. Why settle for peanuts?
Merrill Pays
Celestial Sum
For Street Star
So what exactly is a "celetial sum"? Apparently it comes to about $50 million for a year's work (if your name happens to be Thomas Montag). Work? What exactly does someone do for $50 million?
We'll leave that for another time. For now, here's how a "celestial" Wall Street trader comes into $50 million. You can check out his employment contract. It makes interesting reading. Here's one section:
1. COMPENSATION
a. Salary
Your starting salary will be at the annualized rate of $600,000.00 and will commence on the Start Date.
b. Incentive Compensation
You will be eligible to participate in the Merrill Lynch Variable Incentive Compensation Program (VICP). In general, VICP awards are granted annually at the sole discretion of management based upon individual performance, company financial results, and other criteria. However, for Performance Year 2008, you will receive a guaranteed VICP award of $39,400,000.00, provided you are in the continuous employment of Merrill Lynch through the scheduled payment date in early 2009 (“your Guaranteed VICP Award”).So he gets a guaranteed bonus of $39,400,000. Not bad.
BTW, the difference between the $40 million specified in these clauses and $50 million has to do with guarantees that provide cash compensation to Mr. Montag so that he doesn't lose any money he had accumulated at he previous employer, Goldman Sachs.
Voila! A $50 million guarantee.
You can find the entire compensation agreement at:
http://sec.gov/Archives/edgar/data/65100/000095012308005083/y57271exv10w1.htm
Study it carefully. This way you too can negotiate a good deal when you get your next job. Why settle for peanuts?
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