/biz/ - Business & Finance

>>850571
You're asking the wrong website if you expect a lot of responses, but yes, I meet your criteria. I make between $400-$500K/annually in passive income off my investments (I think that qualifies as upper-middle class) and I no longer need a job.

Did you have some questions, or are you just looking for potential robbery targets?

>>850601
Not OP here, but what field/sector did you start out in?

>>850627
Law. You can read my AMA from last year if you're curious about further background details.

https://archive.moe/biz/thread/301031

>>850601
>4-500k a year
>upper middle class

Really? That puts you in the 0.05%...

>>850635
You must have landed a job with a very high salary and made wise investments then. Correct?

>>851105
Trolling or retarded?

>>850601

iHaz is back. I've heard of you from other anons being gossipy. One story is you're a god, another is you're a fraud.

Look forward to your posts.

>>851116

I'm down to continue arguing semantics, but around $500,000/year is generally considered to be where the delineation of the upper middle class and 'rich' occurs. That doesn't take total net worth into account though, which is a better way of gauging wealth.

>>851147
Serious question, at one point in your life, you were making less than $100k a year and working full time or close to it, correct?

What happened to you or what did you do to make the jump to one percenter? Did you just randomly invest 10k and then the next day it tripled? I'm curious

hehe
my thread has returned the rich guy person to the amine cantaloupe-posting board

>>850571
ez

IB/HF for 8 years. Saved ~$1m post tax. Incorporated an investment company in Caymans. Implemented my black box for 25-35% annualized. Pay myself 4% management fee. Currently in 5th year and have ~$2.5m sitting there. I'll just go live in Monaco or another haven for a few years when I'm keen to take it out and legitimize it.

>>851105
Not anywhere near 0.05%... 1% starts at 350k and then its sharply up from there.

>>850601
yo iHaz, what's the deal with becoming a partner in a law firm? How is the equity stake valued?

>>850601
>daddys money
>daddys office

>>851113
>You must have landed a job with a very high salary and made wise investments then. Correct?
Correct. Though I made some stupid investments when I younger, and wised up as I got older.

>>851155
>at one point in your life, you were making less than $100k a year and working full time or close to it, correct?
Correct, my starting salary was $70K and I certainly worked like a dog for many years. After 11 years in BigLaw, I decided I had enough money (and hated my current job) and so I started working for myself and dropped my hours by 50%. I did that for another 6-7 years, and basically retired last year.

>What happened to you or what did you do to make the jump to one percenter?
My job is very lucrative, and my salary and bonus escalated rapidly. My salary + bonus history:

75,000
84,000
101,200
113,900
144,600
201,200
270,500
346,500
330,000
451,900

Then I made partner, and for a couple years was actually making over $1MM/year. After that, I started working for myself.

>>851124
>One story is you're a god, another is you're a fraud.
Well, neither is true. I've done some good things with my job and my investments, and it's made me financially independent and secure with a very comfortable lifestyle. Nothing more, nothing less.

>>851537
>what's the deal with becoming a partner in a law firm? How is the equity stake valued?
In a small firm where partnership means an actual ownership interest, the equity stake would be calculated using tradition valuation methods (e.g., multiple of future projected cash flows).

Large law firms, like the one I worked for, aren't actually partnerships anymore -- they're mostly LLPs or LLCs. The equity buy-in is usually at a formula established by the management committee that bears only passing relation to the actual value of the firm. Its more like a token buy-in than a purchase of an actual equity stake.

>>851615
Fuck man. I should've done law instead of IB. That pay escalation is absolutely insane - were you working IB hours? (100 hr wks). The youngest partner I've ever met was like mid thirties and that was an outlier. I always thought it was a 40's thing.

Can you elaborate a bit on the equity structures? Is the equity stake of the small firm sold at a significant discount? I've always wondered what the rough ROI on the partner buy-in is because it pushes your wage up due to the claim on profit. Some law firms are listing on the markets - isn't that frowned upon?

>>851147
what the fuck in europe "rich" starts at €60k or something

>>850571

Sadly, not yet. Working towards making enough a month off investments that I can give to fingers up to.

Nope, going to get there though.

Have €40.000 in savings AFTER finishing my STEM degree (thank you socialism) which I'm about to invest in index funds and bonds (thinking about 80/20 or 70/30 because of my age). Now I'll start working and probably be able to retire by 40, which in Europe is quite an accomplishment, seeing how you get ripped by mandatory pension tax and unemployment insurance...

>>851683
Poland isn't representative of Europe, numbnut. I make about 100k eur a year and am far from rich.

>>851695
>I make about 100k eur a year
where?
in the Netherlands it's kind of impossible with a 52% highest tax bracket. And the 42% one starts at 20k or something...

>>851708
Switzerland. I work for one of the big finance names.

>>851678
>were you working IB hours?
Yes, I was generally working 80-100 hour weeks, and billing between 60-80 hours/week. Sometime less, and sometimes more (e.g., during trials).

>Can you elaborate a bit on the equity structures?
There is no standard equity structure among US law firms, and every firm does partnership, equity buy-ins, and profit sharing very differently. I can't really comment on the economics of small firm practice, but in BigLaw the buy-in is pretty small compared to your compensation such that I never gave it much thought as an "investment" per se. Our partnership agreement really didn't give partners an ownership stake in the the traditional sense, but rather an entitlement to share in excess profits. What mattered to us was the annual revenue, not the value of the firm itself.

>>851779

What was the best joke you ever heard from a partner?

>>851796
>What was the best joke you ever heard from a partner?
Not a joke, but a true story:

In my second year of practice, I was chatting in the elevator with a partner that I had worked with a few months prior. He asked me about my weekend, and I told him that I would be moving boxes since I had just bought my first house.

He got this big grin on his face, which I thought was really nice since he seemed genuinely happy for me.

Then he says, "We love it when you associates buy houses. It tends to make you work harder and stick around longer."

That's when I first realized that associates are viewed as nothing more than billable hours machines.

>>851678
>don't neglect the balls while you're working the shaft

also, internet millionaires are literally a few clicks away from becoming billionaires.

>>850571

I do because of my parents. Thanks mom and dad.

>>851843
How much is your house worth? You're worth like 12 million dollars excluding your house, right? Do you have a really nice penthouse?

Are you going to buy a vacation home?

Also, you should let me invest some of your shekels. I'm also a happy merchant :^)

>>851866
geez
that made me kind of sad

>>850601
Tell us how your mommy paid your university and land you a job with her money

>>851872
>How much is your house worth? You're worth like 12 million dollars excluding your house, right?
Closer to 13 now, excluding the house, which is probably another million.
>Are you going to buy a vacation home?
Thinking about it now that I have the time to travel, Can't decide between Wisconsin or Michigan Shore.

>>851927
>Tell us how your mommy paid your university and land you a job with her money
My parents did pay for my education, for which I am eternally grateful. We were a solidly middle-class family growing up, tending towards upper middle-class. I never claimed to be a rags-to-riches story.

If that somehow diminishes my career and investing accomplishments in your eyes, you're welcome to your opinion.