Consultant salary at Germany seems lower compared to other major cities?

Question

I have received a consultant position at a consulting firm in Germany, and the total package (including base + bonus) is expected to be around 100k / year.

Seeking your view - is this considered a “good” salary in Germany, which will allow me to live a reasonably comfortable life and be able to save money? What would be an average monthly expense per person including all costs? I don't have kids now and my wife is also working. To me, the package financially speaking doesn't seem too attractive, but there are other factors that attract me to join the firm.

Another thing that caught my attention is that Germany's consulting salary generally doesn't seem high compared to major cities like London, New York, and Hong Kong. (Based on GlassDoor data and cross-checking MBB's salary in different regions)

A few data points on the average all-in annual total package in Germany (data from GlassDoor) - could you verify whether the data is accurate?

McKinsey Associate: €115K/yr
Bain Consultant: €135K/yr
Bain Consultant: €116K/yr

Answer 1

Hi!

With a yearly income of 100,000 EUR gross you are already in the top 3.3% in Germany. See the graph below.

But the starting salary is not even so relevant for consulting jobs. The expected salary growth in way above average. So, especially when not living in a super expensive neighbourhood, 100k is more than enough to have a pretty comfy life in Germany.

Cheers, Sidi

___________________

Dr. Sidi S. Koné

Former Senior Engagement Manager & Interviewer at McKinsey | Former Senior Consultant at BCG | Co-Founder of The MBB Offer Machine™

Answer 2

Hi there,

Congratulations! Your figures from GlassDoor seem quite accurate. A salary of 100k is fair for an associate level position, and it's worth noting that it already places you among the top 1% of earners in Germany. This means you'll have the opportunity to save money and enjoy a comfortable lifestyle. While taxes may be on the higher side, it's important to consider the benefits, such as free education, good childcare options, and excellent infrastructure.

I'd love to have a coffee chat with you to hear more about your journey and offer any assistance you may need as you start this new chapter in Germany.

Best regards,

Frederic

Answer 3

Congrats!

Yes, that's a good compensation level that puts you already at the top of high earners.

Compared to the US or certain countries in Asia, compensation is smaller in Europe and taxes are higher, but you also get a wider range of social services (fully covered healthcare, free education / childcare, etc.).

By all means, you're going to live comfortable off this salary.

Best,
Cristian

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Answer 4

Hi,

A German income tax calculator shows that you'll retain from 51 to 68% of that amount, depending on your marital status and your wife's earnings, with the average being 58%, which makes your salary 58000 euro per year or 4850 euro per month. That is indeed a decent salary for Germany.

It may not be as high as in major cities across the globe but you should also factor in the cost of living which is quite reasonable in Germany. Specifically, I was surprised at how cheap the groceries were compared to other European countries, considering their high quality.

Good luck with your relocation!
Nick

Answer 5

I can't comment on the exact salaries for Germany or other specific countries. But what you mention not only is a good salary, it should allow for a comfortable life just from the base salary.

Please understand that Germany is composed of a lot of medium-large cities, which don't have the increadibly high housing costs of London (or Paris).

Answer 6

Hi there,

Congrats on the offer!

Most important: This is an amazing opportunity with a very high current salary AND future salary/earning potential - it opens SO MANY door

============Your questions=================

Is this considered a “good” salary in Germany, which will allow me to live a reasonably comfortable life and be able to save money?

Yes

What would be an average monthly expense per person including all costs?

You can google this! so many calcualtors and forums (like on Reddit) that compare cost of living. My understanding is 3-4k is reasonable.

Another thing that caught my attention is that Germany's consulting salary generally doesn't seem high compared to major cities like London, New York, and Hong Kong.

Replace the word consulting with ANY industry (banking, PE, tech, etc.). You're just literally describing Europe vs. US/Hong Kong - capitalist versus socialist societies (higher versus lower wages at the top) and COL differences in dense cities.

By the way, London is not much higher earning than Germany.

Answer 7

This salary is in the range for a new Associate that I would expect in Germany. Comparing to other cities is apples to oranges. It's on par with expectations in London / Switzerland and also doesn't highlight salary growth within 1-2 yrs

Answer 8

Hey there, First off, don't worry too much about the language barrier. While knowing German would be a plus, it's no... (read entire answer)

Hey there, First off, don't worry too much about the language barrier. While knowing German would be a plus, it's not always a deal-breaker, especially in big international fir... (read entire answer)

Answer 9

As former Strategy& alum, I agree with Florian's remarks. It's a great firm but has been even more selective recently... (read entire answer)

As former Strategy& alum, I agree with Florian's remarks. It's a great firm but has been even more selective recently with slowing of pipeline. Feel free to get in touch if you... (read entire answer)

Answer 10

Hi there, I was in a similar position myself when I re-applied to BCG as an “experienced hire” — folks who are out of... (read entire answer)

Hi there, I was in a similar position myself when I re-applied to BCG as an “experienced hire” — folks who are out of school and have some industry experience. If you have less... (read entire answer)