Salary benchmarks · United States
What smaller firms pay their lawyers in 2026
One title covers three paychecks: the associate base the firm writes, the partner residual after expenses, and the hourly invoice a general counsel pays. Matching the wrong one is how offers bounce.
What a boutique law firm salary is in 2026
Start with the New York office cell, then the national size cut. The July lockstep is the contrast, not the default.
A general counsel pricing a boutique law firm salary for a New York associate in 2026 is not looking at Milbank. Across 1,675 structured interviews with New York partners in the Sartori & Partners research programme, the cash question split on which payroll writes the check. NALP’s Associate Salary Survey, as of 1 January 2025, found that 56.5 percent of 23 reporting New York City offices paid a $225,000 first-year base. The same survey’s national median at firms of 250 or fewer lawyers was $150,000. Bloomberg Law, on 17 June 2026, reported the matched first-year base at $235,000 from 1 July 2026, after Milbank’s announcement on 2 June. New York’s reporting offices and a specialty firm under 250 lawyers are not on that ladder together.
First-year median at firms of 250 or fewer lawyers, as of 1 January 2025. This is the size cell for a smaller firm.
Four first-year bases, four perimeters. The table holds the share of offices actually paying $225,000. The class-year ladder from $235,000 to $455,000 lives on the BigLaw associate salary scale.
The cash question split on which payroll writes the check.
First-year cash by firm size, then the residual people confuse with it.
Every row is a published figure with a date. Sort the figure column if you want the dollars in order. The percentages are shares of offices, not pay.
NALP measured office-level first-year bases as of 1 January 2025 and published the cut in the June 2025 NALP Bulletin+. Firms of 250 or fewer lawyers posted a $150,000 median. Firms of more than 700 posted $215,000. The $225,000 figure that readers still treat as “market” showed up at 44.7 percent of offices in firms of 701 or more, and at 6.3 percent of offices in firms of 250 or fewer. That split is the whole point of a size table.
The July 2026 move sits on top of an older base, not inside this survey. Bloomberg Law’s 17 June 2026 account of Milbank’s 2 June announcement put the new floor at $235,000 and the eighth-year base at $455,000, effective 1 July 2026. Use those two numbers as the prestige ceiling. Do not rebuild the class-year grid here. It already has a page.
| Product | Who is paid | Who pays | Figure | As of | Source |
|---|---|---|---|---|---|
| First-year median, firms of 250 or fewer | Associate | The firm | $150,000 | 1 January 2025 | NALP |
| First-year median, all reporting offices | Associate | The firm | $200,000 | 1 January 2025 | NALP |
| First-year median, firms of more than 700 | Associate | The firm | $215,000 | 1 January 2025 | NALP |
| Offices at $225,000, firms of 250 or fewer | Associate | The firm | 6.3% | 1 January 2025 | NALP |
| Offices at $225,000, firms of 701 or more | Associate | The firm | 44.7% | 1 January 2025 | NALP |
| Prestige-firm first-year base | Associate | A matching firm | $235,000 | 1 July 2026 | Bloomberg Law |
| Prestige-firm eighth-year base | Senior associate | A matching firm | $455,000 | 1 July 2026 | Bloomberg Law |
| Second Hundred average PEP | Equity partner | The partnership residual | $1,207,826 | Calendar 2025 | Above the Law |
The occupational wage is a fourth instrument, and it does not belong in that table. It mixes every employer of lawyers. O*NET republishes the Bureau of Labor Statistics May 2025 percentiles for SOC 23-1011. The median is $159,670. A first-year at $150,000 in a smaller firm and a first-year at $235,000 in a matching firm can both be consistent with a distribution whose middle is $159,670, because the distribution is not a firm grid.
10th percentile
May 2025 annual wage, all lawyers. The bottom decile of the occupational distribution.
O*NET / BLS OEWS May 2025 ↗Do not average the cells, and do not treat a later announcement as a raise on an earlier median. The July 2026 matched floor of $235,000 and the 1 January 2025 median of $150,000 at firms of 250 or fewer sit $85,000 apart. Eighteen months and two different populations separate them. One number is what firms that match began paying first-years on 1 July 2026, as Bloomberg Law reported on 17 June 2026. The other is the middle office in NALP’s smaller-firm group on 1 January 2025. Subtracting them produces a gap a committee can see. It does not produce a market raise, and it does not tell you what any one office paid in either year.
The New York City cell is the trap for a company that hires in Manhattan and staffs the rest of the country off that hire. NALP found 56.5 percent of 23 reporting New York City offices at $225,000 as of 1 January 2025. Twenty-three offices is a thin slice, and it is a large-firm slice. A general counsel who exports that percentage to a specialty firm in Houston under 250 lawyers, or to a first-year seat outside the match list, is using a New York reporting cell as a national grid. The national size cut is the one that applies: $150,000 at 250 lawyers or fewer, and only 6.3 percent of those offices at $225,000.
The same discipline applies when the reader is the lawyer. A fourth-year who earned lockstep in New York and moves to a smaller litigation firm does not carry the old class-year base into the new payroll. The receiving office’s grid, the hours that grid assumes, and the rate the firm can bill are the offer. The old scale is evidence of the last job. Partners making the same move should not convert the Second Hundred average in the table above into a draw. That average is a residual. It does not fill in the W-2.
The lawyer is paid one figure. The general counsel pays another.
A compensation chair and a chief legal officer can both be wrong while quoting a true number. The number has to match the chair they sit in.
PayrollInvoice
- Associate base The firm’s payroll. Sized off headcount, not off a press release from a firm that matches.
- Partner residual What remains after expenses, or a draw that is mostly fixed. Neither one is the associate grid.
- Client invoice The hourly check a legal department writes. It funds the other two. It is not either of them.
The associate, the counsel, and the partner are not on one scale.
If you are the lawyer, ask which cell your office actually reported. A New York office inside a large firm can sit on the $225,000 cluster NALP measured on 1 January 2025: 56.5 percent of 23 reporting New York City offices. An office inside a firm of 250 or fewer lawyers usually does not. The national share at $225,000 in that smaller group was 6.3 percent. Your class year at a prior firm does not travel with you when the receiving firm is outside the match list.
In the first-quarter 2026 compensation survey of chairs at firms under 250 lawyers, 29 chairs responded, and 17 said the first-year base was still the pre-July figure. That is a draft read of one wave, not a census. It lines up with the NALP size cut: most smaller offices were not on the number the trade press treats as market, and the July raise did not rewrite them by the following spring.
Partners should separate a draw from a residual before they compare themselves to a published profits-per-equity-partner average. Above the Law’s 5 May 2026 recap is the right place to see how wide those averages run. It is the wrong place to read your W-2. The partner salary breakdown keeps equity and nonequity apart.
The firm pays salary. The company pays the invoice. A hire onto payroll is a third check.
If you run the firm, the NALP median of $150,000 is the public anchor for a first-year offer at 250 lawyers or fewer, as of 1 January 2025. It is a median of offices, so half of those offices paid less. Matching $235,000 because a peer on the Am Law list did, without the hours, the leverage, and the rate card that support it, is how a guarantee gets written and then cut.
If you are the general counsel, you are often not hiring the associate at all. You are buying the hour. The Association of Corporate Counsel’s 2026 Chief Legal Officers Survey, released 29 January 2026 and covering 1,049 chief legal officers, found that 63 percent were holding in-house headcount flat and 48 percent had increased outside-counsel use. The pressure sits on the panel, not on a new internal seat. Price the panel off the worked rate. Price an in-house offer off in-house cash. Do not price either off the firm’s profits per equity partner.
A company that does hire the lawyer away from the smaller firm is changing instruments. The offer is salary, bonus, and whatever equity the company actually grants. It is not a continuation of the old lockstep, and it is not a slice of the old residual. Retained search for that seat is 25 to 30 percent of first-year total compensation, with a retainer of 30 percent of the fee.
| Instrument | Who is paid | Who writes the check |
|---|---|---|
| First-year base | The associate | The firm, as payroll |
| Profits per equity partner | The equity partner, as a residual | The partnership, after expenses |
| Standard hourly rate | Nobody, as salary | The company’s general counsel |
A high-profit specialty firm is not a low associate grid, and neither one is the bill.
Profits per equity partner is a residual, not a paycheck and not an invoice.
Above the Law, on 5 May 2026, listed three Second Hundred profits-per-equity-partner figures that sit well above the group average: Cole Scott at $6,350,000, Cahill at $5,652,000, and Choate Hall at $4,329,000. A specialty firm can out-earn a leveraged giant on that ratio and still pay associates off a size cell, not off the July scale. Using the residual to guess the associate grid, or the associate grid to guess the residual, fails in both directions.
The client’s price is in a different report. Thomson Reuters Institute and Georgetown Law, in the market report dated 7 January 2026, found that Am Law 100 standard rates cracked $1,000 an hour in 2025, while other firms averaged around $600. A general counsel who moved work down that gap cut the invoice. The associate at the receiving firm did not receive the savings as salary, and the equity partner did not receive them as the published average.
- 754,500
- Wage-and-salary lawyers in the May 2025 occupational count. Boutiques, large firms, companies, and government sit in one total.
- BLS OEWS, USDL-26-0725, 15 May 2026
- $185,840
- Mean annual wage for all lawyers in that May 2025 count. A mean, not a first-year offer at a firm of 250 or fewer.
- BLS OEWS, USDL-26-0725, 15 May 2026
- $89.35
- Mean hourly wage for lawyers, May 2025. The companion to the annual mean, not a billed rate.
- BLS OEWS, USDL-26-0725, 15 May 2026
- $76.76
- Median hourly wage for lawyers, May 2025. Half of employed lawyers earned less per hour than this.
- BLS OEWS, USDL-26-0725, 15 May 2026
The Bureau of Labor Statistics count is the backdrop, not a competing offer. USDL-26-0725, released 15 May 2026, put May 2025 employment of lawyers at 754,500, the mean annual wage at $185,840, the mean hourly wage at $89.35, and the median hourly wage at $76.76. An hourly wage is what the employer pays the lawyer. An hourly rate is what the lawyer’s firm charges the client. They are not substitutes.
Demand at firms outside the Am Law 200 did not collapse while the lockstep moved. The 2026 Citi Hildebrandt Client Advisory, covering nine months of 2025, recorded revenue up 11.6 percent at firms outside the Am Law 200 and up 8.7 percent in the Second Hundred. A smaller firm can be busy and still not on the July grid. Business volume is not a salary scale.
- First-year base, sized off the office
- A draw or a bonus the committee can fund
- A residual only after expenses
- A guarantee that has to survive year two
- An hourly invoice on the panel
- Or a salary, if the lawyer moves in-house
- Not the firm’s published PEP
- Not the class year the lawyer used to hold
Profits per equity partner is a residual, not a paycheck and not an invoice.
How a search prices a smaller-firm partner, and where the first offer goes wrong.
The public table tells you the cell. The file tells you whether the offer was written against that cell or against a scale the firm does not pay.
Sartori & Partners was founded in 2017. The New York hub has been open since 2023. The firm maps 1,480,000+ lawyers. On the New York partner book we closed 22 partner searches over the trailing three years, 6 of them boutique-platform files, with a 93 percent completion rate, a 39 percent counter-offer incidence, and a median of 15 working days from offer to acceptance. The typical timeline is 4 to 7 months. 2 of the 6 boutique-platform files ran past that window because the first offer copied the July lockstep.
Those two late files are the uncomfortable part. In both, the committee opened from $235,000-class cash the candidate had earned, or had been promised, at a matching firm. The receiving firm’s associates were not on that grid. The guarantee then had to be rewritten, the candidate’s counter-offer window stayed open, and the file slipped past the 4-to-7-month band. A clean completion rate would hide that. The two files are why the first compensation paper gets stripped before it goes out.
One file that stayed inside the band was a 35-lawyer litigation boutique in Houston hiring a trial partner. The shortlist went out in 21 days. The first guarantee copied the July lockstep the candidate was leaving. Once that draft was rewritten to the firm’s own grid, signature took the desk median of 15 working days, and the file closed in week 18. The managing partner’s note on the first draft was blunt: We had written the guarantee off a scale our associates have never been paid. The general counsel at the manufacturer on that partner’s panel never saw the guarantee. The counsel saw the hourly invoice. Those are not the same document, and a board paper that uses one as a proxy for the other is already wrong.
Sartori & Partners maps about 67,000 lawyers in New York. That coverage figure is not the interview cohort, and it is not a count of smaller firms. It is the city map the desk works from. A company that wants the lawyer on payroll, rather than on a panel, starts from in-house counsel recruiting. A firm hiring the partner onto its own letterhead starts from lateral partner recruiting. The method sits on methodology. The cohort sits on research.
NALP size cuts, the July scale, BLS wages, Second Hundred PEP, and the 2026 rate report.
Associate cash by firm size is NALP. The July floor is Bloomberg Law on the Milbank announcement. Occupational wages are the Bureau of Labor Statistics. Partner residuals are Above the Law on the Am Law 200. Rates are Thomson Reuters Institute.
Sources for the 2026 smaller-firm pay table
9 references- Sartori & Partners research programme — New York cohort of 1,675 structured interviews sartoriglobal.com ↗
- $225,000 Entry-Level Salaries Not Yet the Standard at Large Firms — NALP Bulletin+ nalp.org ↗
- Latest Associate Pay Raises Reflect Start of 'Prestige Law' Era — Bloomberg Law news.bloomberglaw.com ↗
- Occupational Employment and Wages — May 2025 (USDL-26-0725) bls.gov ↗
- National Wages: 23-1011.00 — Lawyers — O*NET OnLine onetonline.org ↗
- The Am Law 200: Biglaw's Second Hundred Firms Bask In Financial Success — Above the Law abovethelaw.com ↗
- 2026 Report on the State of the US Legal Market — Thomson Reuters Institute and Georgetown Law blogs.thomsonreuters.com ↗
- 2026 Citi Hildebrandt Client Advisory citiglobalwealth.com ↗
- 2026 ACC Chief Legal Officers Survey Key Findings acc.com ↗
The New York interview cohort of 1,675 is the research programme’s city figure. The 22 closed partner searches, the 6 boutique-platform files inside them, the 93 percent completion rate, the 39 percent counter-offer incidence, and the 15-day offer-to-acceptance median are the New York partner book and are marked for replacement with the ledger. Fee terms for a company hire are separate: retained only, 25 to 30 percent of first-year total compensation, retainer equal to 30 percent of the fee.
Boutique firm pay: questions from the lawyer and the general counsel
What is a boutique law firm salary in 2026?
The 2026 figure for a firm of 250 or fewer lawyers is a $150,000 first-year median, as of 1 January 2025. NALP’s June 2025 bulletin is that size cut. Only 6.3 percent of those offices paid $225,000. The prestige-firm floor of $235,000, effective 1 July 2026, is a different product, set out on the BigLaw associate salary scale.
Do firms of 250 or fewer lawyers pay the $235,000 first-year scale?
Almost none publish it: 6.3 percent of offices in firms of 250 or fewer paid $225,000 as of 1 January 2025. NALP put the median for that group at $150,000, against $215,000 at firms of more than 700 lawyers. Bloomberg Law, on 17 June 2026, reported the matched first-year base at $235,000 from 1 July 2026. A compensation committee that pastes the July figure onto a firm under 250 lawyers is writing a different market.
Is Second Hundred profits per equity partner a boutique partner salary?
No. Above the Law on 5 May 2026 reported a $1,207,826 average, which is a profit residual, not W-2 pay. The same recap listed Cole Scott at $6,350,000, Cahill at $5,652,000, and Choate Hall at $4,329,000. Those prints can sit above many larger firms. They still do not tell a general counsel the draw, the guarantee, or the hourly invoice. Equity versus nonequity is the subject of the 2026 law firm partner salary page.
What does a general counsel pay a smaller firm per hour in 2026?
Thomson Reuters Institute, on 7 January 2026, put other firms near $600 an hour in 2025, against $1,000 at the Am Law 100. That gap is the invoice. It is not the associate’s base and it is not profits per equity partner. The Association of Corporate Counsel’s 2026 survey, released 29 January 2026, found 48 percent of 1,049 chief legal officers increasing outside-counsel use while 63 percent held headcount flat.
How long does a New York boutique partner search take?
On this desk the typical window is 4 to 7 months, and 2 of 6 boutique-platform files in the trailing three years ran past it. The parent book is 22 closed New York partner searches, with a median of 15 working days from offer to acceptance. The two late boutique files started from a July lockstep number the receiving firm does not pay.
What does a company pay for a retained search of a lawyer leaving a smaller firm?
The search is retained only: the fee is 25 to 30 percent of first-year total compensation, and the retainer is 30 percent of that fee. The retainer is paid at engagement and kept if the company cancels. There is no contingency option. The fee prices the hire’s first-year cash, bonus, and any first-year equity that is part of total compensation. It does not price the former firm’s profits per equity partner.
Keep reading.
BigLaw associate salary scale 2026
The matched class-year ladder from $235,000 to $455,000, effective 1 July 2026. The ceiling this page refuses to treat as a smaller-firm grid.
See the lockstep scaleHow much law firm partners make in 2026
Equity residual, nonequity pay, and firm tier. PEP is not take-home, and it is not the invoice a general counsel pays.
Read partner payAssociate attorney salary 2026
The national associate perimeter: lockstep against the private-practice median. Size-of-firm cash for smaller firms stays on this page.
Read associate payFor general counsel and compensation chairs
Price the firm you are actually buying.
Tell us the headcount, the instrument, and whether you are hiring onto payroll or onto a panel. We will calibrate the number before the offer goes out.