How does compensation compare across consulting, finance, and tech?

Entry-level (0-2 years): Investment Banking ($150-180K all-in) > Consulting ($100-130K) > Tech ($120-160K).

Mid-career (5-8 years): Tech ($250-400K with equity) > Finance ($200-350K) > Consulting ($180-280K).

Senior (10+ years): PE/Partner ($500K-$2M+) > Tech VP/Director ($400K-$800K) > Consulting Partner ($300K-$1M+).

Trade-offs: Banking has highest early pay but brutal hours. Tech has best equity upside. Consulting offers best exit opportunities.

What is the typical partnership/MD trajectory in professional services?

Consulting: 2-3 years Analyst → 2-3 years Associate/Consultant → 2-3 years Manager → 2-4 years Principal → Partner (~10-12 years total). Partner comp: $300K-$2M+ depending on firm and performance.

Investment Banking: 2-3 years Analyst → 2-3 years Associate → VP → Director → MD (~10-15 years). MD comp: $500K-$5M+ (heavily bonus-driven).

Reality check: Only 10-20% make partner/MD. Most exit to industry, PE, or startups after 4-6 years.

When should I exit consulting/finance for industry?

Optimal timing: (1) 2-3 years (Post-MBA Associate): Join tech as PM/Strategy. (2) 4-6 years (Manager/VP): Join as Director. (3) 8+ years (Principal/Director): C-suite roles.

Compensation impact: Industry roles pay 10-30% more in TC (thanks to equity) but lower base. Banking Associate ($250K) → Tech PM ($280K). Consulting Manager ($220K) → Tech Senior PM ($320K).

Career benefits: Better work-life balance, equity upside, more stable career path, less travel.

How do I negotiate compensation in consulting/finance?

Consulting: Limited negotiation at entry level (lockstep compensation). At senior levels, negotiate: base salary, bonus %, equity (if available), signing bonus, MBA sponsorship. Use competing offers from other MBB/Big 4 firms.

Investment Banking: Base salary is often fixed by level. Negotiate: signing bonus (most flexible), guaranteed bonus, retention package, role/title. Leverage: competing bank offers, PE/industry offers showing higher TC.

Best leverage: Industry offers (tech PM, strategy roles) often pay more and provide negotiation baseline.

What are equity/bonus structures in professional services?

Consulting: Annual bonus 0-30% based on performance and firm profitability. Partners get profit share (can be 50-70% of total comp). Some firms offer equity/phantom stock at senior levels.

Investment Banking: Bonus is 50-200% of base, varies wildly by deal flow. Year-end bonus is majority of comp. MDs can earn $1M+ in good years, $300K in bad years.

vs. Tech: Tech equity (RSUs) is more predictable and liquid. Vests over 4 years, can be 30-50% of TC. Big upside if stock performs well.