MBB Salary in Mainland China for 1st year analyst/associate
Okay so I just looked into glassdoor's information on 1st year business analyst/associate (entry level) at MBB in Mainland China and the overall number fluctuates around 30k-35k (USD, annually). The number is so low I even gasped when I realized that includes bonus (WTF?). All three firms have offices in Beijing and Shanghai only and given the expensive nature of the two cities, and I don't get how they can pay their analysts/associates so badly when they are supposed to be one of the greatest, most coveted firms not only in China but also worldwide.
I also compared those numbers I got on Glassdoor with this salary report from Gemini (http://www.gemini.com.hk/assets/doc/survey_china.pdf) and those 30k-35k numbers seem legit. I was wondering if anyone can maybe offer some insight as to what other benefits you get if you work for them. How can you save for business school with that amount of money :( jesus, and the rent in those two cities are not cheap either!
Thank you all in advance
Sorry can't help answer your question, but Bain/McKinsey are the same in India when they hire out of undergrad. Annual salary in India for a undergrad Bainie hire, for example, is under Rs. 1 MM all in, which is like barely over USD20k. In fact, more realistically, it is around USD18-19K per annum.
Thanks for the input! So basically I can now draw a conclusion that MBB salaries vary GREATLY between offices. McK in my country pays almost 20k/yr for fresh grad! Good God :|
I would imagine that salaries are localized for their respective countries. I can't imagine McKBain Group paying US Salaries for work in India/China. As for business schools, I guess that's where the loans come in.
$20,000.00? what country is that? yikes
@wikit: No I didn't expect US salaries. But come on, 35k/yr for Beijing and Shanghai??? That's a bit stingy, no?? :| (Sometimes I wish I had loved Japanese instead. They pay HANDSOMELY :|)
@ConanDBull: Oh yeah, trust me. The number is real :| But seeing that my country has a GDP per capita of $1200 and the cost of living in the biggest city (with a decent lifestyle) around $500, $20k/yr isn't so bad. It is BAD if you want to travel (to like, US/Europe) or go to business schools :'((((
What makes you think that IB in mainland China pays the same as that in the states? 30K - 35 K USD is extremely good salary for fresh graduates even in cities like Beijing or Shanghai. I'm serious here if you can't make it in the states then forget about "opportunities" in mainland China ( or even Asia in a broader sense), cuz everything here in China will just be more difficult. China is definitely growing and I'm very optimistic about that, but you have to keep in mind that the household income is ranked like 80 something in the world if I didn't remember it wrongly. Also, I feel that the salary disparities between bankers and engineers are not as big as that in US.
If you really want to work in emerging markets, try Hongkong or Singapore.
(Sigh) Did you read my post :( First, I'm talking about consulting, not IB. Second, I'm surprised that even when bonuses are taken into consideration, they're only making 35k/yr (like I said, I did NOT expect US salary, but I was hoping the number would be somewhere around 40-45k/yr, all in). And third, I don't think HK and Singapore qualify as "emerging". Something like Indonesia or Malaysia would be more apt. Plus, if you have read my previous comment you'd know I'm from an emerging market too (so there's no "if you can't make it in the states").
I asked this question because I've always been fascinated by Greater China and Chinese culture ( I guess we have one thing in common. I too am optimistic about Chinese future) :D I'm fluent in Mandarin and the whole consulting industry interests me. Plus, for me early 20s is the best age to work abroad (you know, to immerse in the whole international culture/experience thing) and that's why I asked.
My bad...Just got home from work and exhausted. I'm not sure how People in consulting are compensated...But the numbers you quote in OP looks reasonable to me.
HK and SG have emerged
how about salaries in hk and sg then?
Yes, Hongkong and Singapore are more developed regions but some of the deals are from China ( Actually in Hongkong most of the banks are China-focused now). Salaries after tax for first year analyst are on par with equivalent positions in US.
Yep, starting salaries in BJ/SH for undergraduates are low compared to the US/EMEA at M/B/B but there is some form of (slow) convergence towards a normalized pay level after a few years. For instance Roland Berger which has a strong franchise in mainland pays about ~100k USD MBA graduates in mainland which is still low but not that bad considering the living cost. Students don't really care since they can exit to PE only after a short time there.
I have to disagree with quarterlife on the cost of living: I have lived in the past 2 years in Beijing before moving to HK and BJ is a cheap place to live considering the quality of entertainment and infrastructure (than Paris, HK, SG) especially for transportation, utilities, food, housing, clubbing. For instance a 35k USD salary will buy you a better lifestyle than even 65-70k USD in Paris (where I was living until 2009).
At international BB IBs however pay is on par with global level on a nominal basis, compensation inflation pressure even at the junior analyst2,3 level is driven by demand from PEs.
While salaries in Chindia suck, don't worry about it for SG/HK. Your disposable income is FAR higher in SG/HK relative to the US/Europe thanks to the tax rate. Also, in Singapore, they have the CPF scheme where there give a certain additional percentage to Citizens/PRs (essentially matching their CPF contribution). For a non-Singaporean like me on an Employment Pass, however, my company (consulting firm) matches it and just adds it to my salary.
To put some numbers in for Singapore:
CONSULTING (out of ugrad) -
Base for M/B/B/O - roughly S$80-85k/year Bonus for M/B/B/O - varies but on average 20-40% additional moolah made thanks to the CPF thing - add another S$7-8k Tax rate - roughly 15%
Investment Banking (out of ugrad) -
Top I-Bank base salary for 1st year analyst - roughly S$110K/year Bonus - totally dependent on performance, but I know a kid who got 100% in 2010
Not a bad living at all...in fact, far far more savings anywhere else.
PS - USD1 ~ SGD1.3 PSx2 - Similar numbers for HK, though there rent is higher.
don't look at the first year base alone. i heard they double each year for the ac/ associate level for mbb in china.
I've benefited a lot from WSO and was happy to see a post to which I can contribute.
The total compensation for 1st year analysts at one of the MBB's in 2011 was 50K (The other two pay similar salaries). 40 base salary, once you add the signing bonus and performance bonus is goes to 50K. The top performers can earn a few thousand more due to higher bonus. How do I know? I read one such offer letter, so the info that I am providing is factual and definitive.
Also, it is said that compensation raises significantly every year, so that in your 3 years as an analyst you make a decent amount. I have no numbers on the percentage increase, though.
Btw, the biggest challenge in terms of working in mainland China is actually getting hired as a foreigner at the entry level, even if you speak fluent Mandarin. Almost no foreigners have been hired at this level. My recommendation is to definitely still try MBB, but also cast your net wider to include others like AT Kearney, LEK, Monitor, etc.
agree with aash_nash. also, Post mba consultant position pays way higher than north america
I know that in Mexico MBB pays for undergrads 24k USD/year base and bonus about 15%. And we heard they complained about the quality of BAs there... as a Director of my former firm said: "You pay peanuts, you get monkeys".
Even in Brazil, pay was lower compared to US - and believe me, inflation here exploded so cost of living is REALLY high in the large cities. Post-MBA, pay converged to US levels, since the job market of a HBS grad is the world, so they really can't afford to pay less.
35k in beijing/shanghai affords you a much more comfortable life than 70k in NYC... it's one of the highest paying non-finance jobs for fresh graduates in China.... and even finance jobs often don't give global pay. Also taxes are low on low salaries.
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