if you work 40 hours per week for 50 weeks per year that is 2000 hours. If you multiply that by $350/hour, it works out to $700k/year. I have heard most lawyers work more than 40 hours per week. So why isn't the average NYC lawyers average salary more like $800k/year than $125k/year?
2007-01-20 14:17:11 · 4 answers · asked by wengaewengae 1 in Business & Finance ➔ Careers & Employment
The average lawyer in NYC isn't a lone gunman - they are mostly lower rungs in the ladders of large law firms. This means that although a client may be billed a certain amount for a certain number of hours, that money isn't just put into that lawyer's pocket. Along with that, remember that most lawyers are exempt employees - meaning that no matter how many hours they work (and it's closer to 60 hours per week starting off), they get paid the exact same amount every week. They mostly work for bonuses and the like. And yes, overhead is extremely costly - if you want to look like a successful lawyer, it's going to cost you successful lawyer offices, equipment, paralegals, research teams, law clerks, secretaries, etc.
2007-01-20 14:30:07 · answer #1 · answered by Amber C 2 · 1⤊ 0⤋
You are mixing things up. The $350 an hour would apply to lawyers in large firms in Manhattan that work for big corporations, which is the highest-paying sector of the legal profession. Those lawyers make a lot more than $125k, but they also have a huge amount of overhead, like rent on office space, secretaries, paralegals, bar association dues. But beyond large firm lawyers, there are lots of other lawyers who do criminal defense or personal injury. For this second group, the average pay is probably a little closer to $125k. Then there are those who work in goverment or the nonprofit sector or as public defenders, who would make even less than $125k. People think of lawyers as driving BMWs and wearing expensive suits, but that is the top sector--there are more that wear shiny suits and drive a Hyundia.
2007-01-20 14:32:58 · answer #2 · answered by njyogibear 7 · 1⤊ 0⤋
Okay, I realize that overhead costs, but that isn't the reason. Lawyers get $350 per BILLABLE hour. So you get paid for the hours you work toward a specific case/client. The 8 hours that a lawyer puts in, only five may be billable to a client. This is why lawyers work so many hours and why the math doesn't work out.
2007-01-20 15:14:09 · answer #3 · answered by Melly1143 2 · 0⤊ 0⤋
I'm guessing that it has something to do with COLA- Cost Of Living Agreements. For instance, if you live in an urban area, it cost you a lot more to live there in order to pay your rent or mortgage, on top of all the other expenses which are also higher because you have to factor in the costs of transportation (like Sky Trains and Subways). Do some research regarding real estate- there tends to be higher market bubbles and prices in cities versus rural areas (like in small town farm areas) for the reasons listed above. There may be other reasons too- perhaps better lawyers live in cities than in rural areas- you would have to do some statistical sampling to prove this but this may also be true too.
2007-01-20 14:26:37 · answer #4 · answered by Anonymous · 0⤊ 0⤋
And then they could pay the office overhead. What's the average rent in NYC? Sounds like they are lucky to come away with what they do.
2007-01-20 14:22:54 · answer #5 · answered by smiling_freds_biz_info 6 · 0⤊ 0⤋