Getting to 100k + salary

**Mindomoo** · 26 August 2005, 10:59

erm........

Is the bonus guaranteed? If not, dont count on it. The number of consultancies I interviewed with (and never joined) who would say plus XXXXXX bonus is ridiculous - the one I worked for had a bonus scheme and rarely paid.

53K is not bad for a permie consultant in the south west - I think I was on 39K when I quit permiedom.

I can get £400-£600 per day depending which on the following calcuation:

46 working weeks in the year (allows for 25 days hol + Bank hols which is average)

5 working days = 230 days

That puts a gross range of 92000 to 138000.

I'm 28.

**boredsenseless** · 26 August 2005, 11:07

I don't know of many consultancies either in or out of London that pay more than 80K for a consultant.

Maybe if you are a practice manager or a director, otherwise move into banking and you can get some fantastic bonuses (40% of salary is not unheard of) so long as you choose the right bank.

The £100k barrier is hard to break as the people who have to signoff that probably only just earn that.

Look at the figures

Consultancy charges you out at £1000 a day
There are 250 working days
30 of which are hols or bank hols
10 of which you are sick, doctor, dentist etc
then 75% utilisation on the rest (75% of 210) = 160 give or take

Therefore billings = £160,000

Salary £100,000
Employers NI £12,800
Pension £5,000
Car Allowance £8,000

Total outlay £125000

Which leaves 35K for phone bills, training, your portion of overheads, non-billable expenses and of course directors profit. Thats assuming you actually manage 75% chargability

So you can see 100K is a hard act to crack...

**DimPrawn** · 26 August 2005, 12:19

Originally posted by DieScum

How many of you guys earn 100k + year in year out.

I'm 26, earning 53k basic as a permie consultant in the south west. My bonus takes that up to 60k.

I want to plan where I am going earnings wise. By the time I am 30 the target is to be 100k+ (outside of London). I'm diversifying my skillset and I think the best way to go is MBA with a technical focus.

Or is this unrealistic? Will I have to look at setting up my own company to earn at these levels?

You are being silly. You should be aiming for at least £350K pa by your 28th birthday in the North East of England. Anything less is pathetic. Come on man, stop being a loser. £100K. Pah. I Earn that in a month (a bad one at that!).

**boredsenseless** · 26 August 2005, 12:31

Originally posted by DimPrawn

You are being silly. You should be aiming for at least £350K pa by your 28th birthday in the North East of England. Anything less is pathetic. Come on man, stop being a loser. £100K. Pah. I Earn that in a month (a bad one at that!).

How on earth do you survive on that???? Once you've paid the lease on the Lear Jet there's hardly enough left for the caviar butties

**partimer** · 26 August 2005, 12:49

funny

Originally posted by boredsenseless

How on earth do you survive on that???? Once you've paid the lease on the Lear Jet there's hardly enough left for the caviar butties

I luv these as it always bring out the funny side of this board. (My dad is bigger than your dad discussions). Speak to a guy called Threaded.
You're nothing until you earn your 1st million and I'm 24 ...

In all seriousness, it's easy to earn loads of money in a boom. Just ask any dot con millionaire. It's the bust/recessions you have to worry about. Those same dot con millionaires now only have toilet paper worth of shares ...

**BlasterBates** · 27 August 2005, 09:50

Aha 26 on 53000 a year permie consultant... I can see a sob story in the making here.

Have you got a big mortgage ?

**DieScum** · 30 August 2005, 10:15

Thanks for the replies guys.

Mindomoo - do you have much time between contracts? Do you always get 400-600?

If I had a high percentage chance of billing 90% of the year and getting that kind of rate then your contracting methd seems a great way to get to 100k+.

Boredsenseless - Thanks for the breakdown. Makes a lot of sense.

I am going to push like a mofo to get as high as I can but I looks like I need to generate external sources of income as well.

**Mindomoo** · 30 August 2005, 11:00

Originally posted by DieScum

Thanks for the replies guys.

Mindomoo - do you have much time between contracts? Do you always get 400-600?

If I had a high percentage chance of billing 90% of the year and getting that kind of rate then your contracting methd seems a great way to get to 100k+.

Boredsenseless - Thanks for the breakdown. Makes a lot of sense.

I am going to push like a mofo to get as high as I can but I looks like I need to generate external sources of income as well.

No I dont always get that and I do take time off - I have learnt money is not everything.

I will take a lower rate or time off for quality of life.

why the drive to get to 100K by 30. Seems to be that is your only focus. Is it to have a pissing contest with the boys at the club?

**DieScum** · 30 August 2005, 11:45

Good points. I agree that quality of life is most important. After all cash is just a means to and end.

I am focussing on it because I like to have specific goals. 100k seems to be a reasonable stretch goal.

Also yeah I like the stuff that money buys. I have no idea who can actually afford a house nowadays. 100k * 3.5 = 350k = not really that much on the housing market.

But yeah money does buy freedom also. The more you save and invest the less need you have to work..

...but I love working. I find the higher up the tree you climb, which goes hand in hand with money, the more power you have, the more freedom, the more respect, the more fun.

My first job after uni was helpdesk monkey. I was earning peanuts and most of the managers were idiots. It was unutterably crap and I don't want to go back there. I know many people older than me, with families who are still back down there.

Not for me. I'm going to keep fighting and struggling and learning and being the best and failing and failing and eventually succeeding till i am at the top of tree.

So yeah, money is just a benchmark.

Getting to 100k + salary