Wall Street Bonuses Reach Record $49.2 Billion, Short of City's Projections

New York City faces budget shortfall as bonus growth falls below expectations

Mar. 26, 2026 at 10:10pm

Got story updates? Submit your updates here. ›

The Wall Street bonus pool reached a record high of $49.2 billion in 2025, up 9% from the previous year. However, this fell short of the 15% growth the city had projected in its financial plan, leading to a $5.4 billion budget deficit for the upcoming fiscal year. The mismatch between the city's optimistic projections and the actual bonus growth means tax revenue from the bonuses will fall short of expectations, posing a challenge for Mayor Zohran Mamdani as he seeks to address the city's affordability crisis.

Why it matters

Wall Street's performance and bonus payouts are a crucial source of tax revenue for New York City, accounting for a significant portion of the city's budget. The shortfall in bonus-related tax revenue will force the city to find other ways to plug the budget deficit, potentially impacting planned spending on initiatives to address the city's high cost of living and income inequality.

The details

According to the report from the New York State comptroller, Wall Street profits jumped 30% in 2025 to $65.1 billion. The roughly 200,000 people employed in the securities industry were awarded an average bonus of $246,900 per person, about three times the city's median household income. While the bonus pool grew by 9%, it fell short of the city's 15% growth projection, leading to an estimated $100-$200 million shortfall in tax revenue.

  • The Wall Street bonus pool reached a record high of $49.2 billion in 2025.
  • The city's financial plan was based on projections of a 15% increase in the bonus pool.

The players

Thomas P. DiNapoli

New York State comptroller, whose office released the report on Wall Street bonuses.

Zohran Mamdani

Mayor of New York City, who faces a $5.4 billion budget deficit for the upcoming fiscal year.

Ana Champeny

Vice president for research at the Citizens Budget Commission, who estimated the shortfall in tax revenue from the bonuses.

Dora Pekec

Spokeswoman for Mayor Mamdani, who said the report highlights the need to tax the wealthiest New Yorkers and most profitable corporations.

Rahul Jain

Deputy comptroller for New York City in the state comptroller's office, who commented on the impact of the bonus shortfall.

Got photos? Submit your photos here. ›

What they’re saying

“When Wall Street does well, it's good for our state and city budgets, which are reliant on the industry's significant tax contributions.”

— Thomas P. DiNapoli, New York State Comptroller

“This report makes clear how now more than ever we need to tax the wealthiest New Yorkers and the most profitable corporations to make the most expensive city in the country more affordable.”

— Dora Pekec, Spokeswoman for Mayor Zohran Mamdani

“There are other places they can get money from.”

— Rahul Jain, Deputy Comptroller for New York City

What’s next

The judge in the case will decide on Tuesday whether or not to allow Walker Reed Quinn out on bail.

The takeaway

This case highlights growing concerns in the community about repeat offenders released on bail, raising questions about bail reform, public safety on SF streets, and if any special laws to govern autonomous vehicles in residential and commercial areas.