2017 Management Consulted Salaries Out

Overnight millionaire, literally

I worked there and was able to pull in almost $100k in my first year, although I was working crazy hours and billing amongst the top in the US and Canada.

FTI has something similar called the "CHIP" program. (Chargeable Hour Incentive Program)

I would note that billing 40 hours is not the same as working 40 hours. Besides unbillable time you also have vacations and project gaps that cut into the amount of time you are billable.

That said if you are staffed on a project/projects where you are working heavy hours it can be a very nice bump to total compensation.

I would assume the difference lies in what an MBA / grad student ist. In the US most MBA grads have previous work experience, whereas a European grad student will have none. There is also a huge difference in COL between London and Madrid. I've heard that Spanish accountants make about 1.5k Euros a month.

I was more surprised by the high salary in Poland.

Here you get an idea of Madrid Salaries: Summer Business Analyst/Associate Intern: 1600/month in Mck 1500 euros in BCG Business Analyst Mck: 33.000 euros (around 1700 euros per month) + bonus up to 8.000 (usually half than that)+ 12% of your annual salary that you get when you leave the firm. Accounting and non strategy consulting pays much less than that less than that. Salaries sucks in Spain(and hours are probably the worsts among all offices). Paying this is enough to get the top talent because there is almost 50% of youth unemployment. Madrid is not that cheap either (I would say comparable to somewhere in the US-excluding big cities like New York or San Francisco which are much more expensive). Still most spanish people prefer to work in Madrid than outside of Spain because of the sun, the people, the food..

Don't forget the US kids have loads of debt they need to pay off. As soon as you hit the consultant level salaries are equal

Oh and also, Deloitte S&O pays more than 30% less than MBB here. Contrary to the US where they seem to do decent they don't really have much going here, they are really just the big4 here, nothing special in any regard. That being said, UK salaries are still lower than US even for the big dogs

Agreed, there are definitely inaccuracies, because they crowdsource from a relatively small sample. Usually over the first few weeks they update them as they get more numbers in.

That being said, they're directionally correct

MBA offers are standardized in the US. Everyone gets the same base and signing unless a firm does a small cost of living adjustment, but most don't.

Performance is obviously variable but has nothing to do with experience. Also, as I've stated in another post below, bonus figures are very inflated for some firms on management consulted because they use top bucket which almost nobody gets. For example, EY is probably more like $5-14k annual bonus first year out of MBA. As mentioned in my post below, use TransparentMBA.com for more realistic all in comp figures, the site is pretty much dead on for all post MBA with normalized expectations for performance bonus. For example, they suggest $20k at Accenture for performance, not the $44k figure on managementconsulted.

I'm guessing that your post MBA friends went to non targets and didn't recruit through OCR - sometimes people hired through industry experience make between UG and MBA pay. If you're friends earned an MBA but weren't recruited through their MBA, they are likely falling into that bucket. Either that or they're in a different group that still falls under consulting but aren't the strategy groups the site refers to. Anyone who went to a top 20 is getting the same thing.

a no or little experienced MBA doesn't get into a top business school, and is therefore not hired by any of these firms...If you go to a shit tier MBA and get hired, you're not part of official MBA recruiting, and come in at a more junior level (with less pay).

It depends. The consulting firms you see referenced here on WSO largely focus on F1000 firms (concentrated heavily in the F500). A $100MM company isn't going to want to shell out a few hundred grand for three months of work. But there are a wide range of consulting firms out there in the world, some quite large, some independant boutiques that have more manageable bill rates and can help small to mid sized businesses with a range of problems, including IT but also pretty much any other sort of consulting you might need.

The segregation exists between these T1/T2 firms and the rest of the market because - when the CEO of a multi-billion dollar company hires a consulting team to provide justification for a cost takeout, acquisition, etc, he can't use a firm with 25% of a T1/T2 firms bill rate, because if shit goes south they'll be in serious hot water for not utilizing a top tier firm. While there are of course exceptions, to do so on a whim to save a few bucks just looks bad, to the board and to shareholders. Plus, most if it's relationship driven anyways, and the best relationship people in consulting (those with the most F1000 clients) are going to aggregate to top firms with the highest bill rates, both because they make more money there, and because the junior talent is better for them and their clients.

McK is unchanged.