Serious question - is pay for performance (bonus) really no longer a thing? I’m new and thought my salary (total comp) was decent because of the bonus possibility. If it’s no longer a thing, I’ll be pretty upset. Has anyone received a bonus within the last couple of years?
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Even if they could offer the bonus guarantee, the problem is that sales quotas, territories, reporting structures, product set, client base all can and do change often. It's not uncommon for the bank to flip over the table and changes the rules, expecting you to just adapt and accept. Every year, they expect more production, but will compensate less on incentives. Until finally, you reach around age 50, and they do everything in their power to get you to leave.
My offer letter bonus amount was paid in full during the first bonus cycle. But then has declined each and every year.
It's not new to include "Salary + Bonus Opportunity" (emphasis on "opportunity") in an Offer Letter for certain specific roles. (not every role, nor most). Been doing that for decades. (certain roles)
the amount is absolutely NOT guaranteed, unless you or your attorney demands that particular word be written in. (which I'd advise you try to make happen, but in this environment, unless you have some super special unicorn skill, they will not agree.)
Past 5-7 years, as managers, the Mngt/HR guidance on YE bonuses has mostly been "Mr/Ms Manager: Take your pool down by a total of [Insert 5%-20%]" (depending on the group and roles). I know one LOB that was paid down badly in 2022, but outperformed in 2023, and were rewarded appropriately. Meaning, likely brought back to even from 2021.
How I, as a manager, get my team's pool down is up to me. (-20% across the board? a mixture of -5s/-10s/15s?...). If I give Incoming New Person a Guarantee, which ends up being most of my allotted pool, do I give the loyal ones here goose eggs/nada/zilch?
No, I won't. And there we are.
Also, is that 3 cash or all-in (value of RSUs)
Wanted to get clarification on something some of you have commented on.
My offer letter specifies an expected bonus...a previous letter from ten years ago did not. Is this something new the bank is doing? When I asked the recruiter if the amount was "guaranteed" she indicated it was but having been at the bank I know there are no guarantees and that your # from previous year is used as a benchmark. Would love any color on this...and if it's team/group specific?
@4hui+1unrCzhV - same. I am less enthusiastic in my efforts now.
My bonus barely covers the commute/parking that have had to start doing.
I was given a song and dance about how great a year I had as a top performer in my area, and then they laid $2200 on me and acted like I'd been given the key to Fort Knox. Don't spend it just yet.
I was in tech so the bonuses weren't large, but one year the big cheese's SIL was in the group, so everybody got a relatively huge bonus. I figured it was to mask the SIL's even huger one.
Sadly be prepared to be disappointed. They recruited me on promises that never happened. Straight up lied to me. My bonus last year, was the lowest it has ever been in the last 25 years across multiple platforms, despite leading my area in profit (yet again). At this point, I offer nothing beyond the minimum, and whenever we have an opening and they ask for referrals, I share nothing. Nobody I know that knows anything about my field, already know to not mess with Bank of America and stay far far away. In my field, in my office, we are far from being “the best place to work”, and the market knows it. I share no industry information anymore. I volunteer for nothing. I couldn’t care less what happens to this place, and I absolutely do not trust anyone, and you shouldn’t either. I’m just waiting for the winds to shift to leave and make it my mission to beat the s!&t out of BoA with every opportunity I can get. Did it before, and will do it again. Huge mistake coming here. I actually spend more time making sure this place doesn’t damage my own pristine reputation in my field than anything else. I dream of the day when I can walk over to the competitors and get busy getting back to what I do best.
From 2015 to 2024 went from $25k to just over $6k. RSUs are a freaking joke.
The bank gets what it pays for and everyone is happy. Mediocre pay for mediocre work. Everyone who really cares about the money have left. So if you're still here, you know you're getting paid for not doing very much.
Not a legitimate one. I got bigger bonuses 25 years ago when making less than 30k. BofA's comp structure has become insulting. The "Sharing Success" cr-p is a force.
Pay for Performance was replaced by the Do More for Less Pay program.
Our group still receives annual bonus paid out each Feb -- cash (60%) and RSUs (40%) that vest over 4 yrs. (originally was 100% cash, but then they started these stupid RSUs that go down each year -- which means we end up paid down. (2024 vesting was the first time they've held value) BofA RSUs seem to nastily depreciate from amount awarded by the time they vest.
My best year was 2011 when the Bank and our product area did well. After that, they began chipping it away -- 10-15% each year. Went up by 5% a couple of times, but never back to that 2011 amount.
The combined cash/rsu bonus for the past 2-3 years is maybe 65-70% of what it used to be -- despite RECORD earnings. I think that Sharing Success program is supposed to make up the difference. (but it does not) Sharing Success is set by Band across the company, so it does not seem to matter whether I Exceed or not. So the message I hear is "why bother?"
Seems like it went from Pay for Performance to Do More for Less Pay.
I agree been with BOA 20 years and my bonus now is less than 50% of my max. Just plain awful and then they try to mask it RSU shares.
Bonus yes .. but nothing like it was and every year is a 20-30% cut from the year prior .. now it mostly is taken all to tax
It’s no longer a thing. And it’s not just Bank of America, lots of Banks are doing this. They attract you with a big upfront, and disappoint the rest of your career. They do lean on giving you RSUs to keep you locked at your desk. Now if your in IB, you get paid up to a million for doing not a lot (in my opinion)
D&I and favorites get more of a substantial bonus than the real workers.
My bonus got rolled into my pay a few years ago so it's gets thrown in my face that I have a guaranteed bonus. I do receive RSUs. Our managers still get yearly bonuses. I've been told that $$ has dwindled over the last few years and that the DEI get more than non-DEI.
Goes down every year. Highest was year 1 based on what I negotiated in offer letter.
Zero