What utter bullsh*t....

The NYT has an absurd article regarding the proposed limits on executive compensation. I think these folks are in for a rude awakening. They have absolutely no concept of what is a luxury and what is a necessity.

And frankly, it wouldn't be an issue if they weren't being paid with *taxpayer money.* But that's the rub---these folks are paid their salaries with *our* money because these very institutions were going to fail. This article, though, is an even bigger FAIL if the attempt was to gain sympathy.
PRIVATE school: $32,000 a year per student.

Mortgage: $96,000 a year.

Co-op maintenance fee: $96,000 a year.

Nanny: $45,000 a year.

We are already at $269,000, and we haven’t even gotten to taxes yet.


Sure, the solution may seem simple: move to Brooklyn or Hoboken, put the children in public schools and buy a MetroCard. But more than a few of the New York-based financial executives who would have their pay limited are men (and they are almost invariably men) whose identities are entwined with living a certain way in a certain neighborhood west of Third Avenue: a life of private schools, summer houses and charity galas that only a seven-figure income can stretch to cover.


Barbara Corcoran, a real estate executive, said that most well-to-do families take at least two vacations a year, a winter trip to the sun and a spring trip to the ski slopes.

Total minimum cost: $16,000.


Many top executives have cars and drivers. A chauffeur’s pay is between $75,000 and $125,000 a year, the higher end for former police officers who can double as bodyguards, said a limousine driver who spoke anonymously because he does not want to alienate his society customers.

“Some of them want their drivers to have guns,” the driver said. “You get a cop and you have a driver.” To garage that car is about $700 a month.

A personal trainer at $80 an hour three times a week comes to about $12,000 a year.

The work in the gym pays off when one must don a formal gown for a charity gala. “Going to those parties,” said David Patrick Columbia, who is the editor of the New York Social Diary (newyorksocialdiary.com), “a woman can spend $10,000 or $15,000 on a dress. If she goes to three or four of those a year, she’s not going to wear the same dress.”

Total cost for three gowns: about $35,000

Not every bank executive has school-age children, but for those who do, offspring can be expensive. In addition to paying tuition, “You’re not going to get through private school without tutoring a kid,” said Sandy Bass, the editor of Private School Insider, a newsletter that covers private schools in the New York City area. One hour of tutoring once a week is $125. “That’s the low end,” she said. “The higher end is 150, 175.” SAT tutors are about $250 an hour. Total cost for 30 weeks of regular tutoring: $3,750.
Someone needs to explain to these folks whose "identit[ies are] entwined with living a certain way" that when you are on the government payroll, luxuries are not the taxpayer's concern.

If these folks don't take government funds, then they can run their business however they want. But once you are using government money, this kind of bullshit---declaring two vacations totaling $15,000/year or $35,000/year for ball gowns are necessities---isn't going to fly. I don't know *anyone* who would try and sell spending this kind of money as a necessity.

We all know people struggling to secure health insurance when they lose their jobs or people who are cutting back on real necessities like medicines or food. Or people who aren't losing their jobs but are being put on forced furloughs.

And this article is trying to argue they can't make it on $500,000/yr of taxpayer money because of nanny, vacation, chauffeurs expenses?



Anonymous said...

Us hobo peasants say: "There's some lovely filth down here!"

Seriously, though, if they don't want to do their jobs for roughly twice what I make a year-well, I'd take their salaries happily.

Anonymous said...

Excuse me, that should be roughly twenty times what I make a year. Twice? I wish.

Gamera said...

Yah, I was wondering there for a minute....