MBB vs second tier compensation

Question

Hi guys, going through interviews at the moment and was trying to find information around how compensation differs between MBB firms and tier 2 firms - does anyone know a good source for this or can share some ranges based on their experience? Keen to understand how compensation differs from the consultant level and as you progress upwards..

Answer 1

This varies across geographies. As Guennal has said, the compensation will roughly start at the same level, but can diverge quite significantly at manager level +. In London, all major consultancies (to my knowledge) start at £40k-£45k base for pre-MBA positions and £80-90k for post-MBA positions. One area though where pay can differ significantly is bonus - while bonus might range from £6-10k+ at MBB in the first year, the comparable bonus at other firms is likely to be slightly lower.

However, some Tier 2 firms (e.g. Oliver Wyman) may pay their employees less on average than MBB, but really compensate top performers - so the best associates at Oliver Wyman might earn more than the best associates at Bain.

Answer 2

The first few years, they are roughly comparable - some boutiques may even pay you a little more. Compensation obviously isn't what MBB thinks you should join them for :)

Answer 3

Glassdoor is accurate for US, Canada, UK. And directionally correct for other countries. Management consulted website also gives you a good idea of pay progression across levels.

hope it helps,

andrea